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HomeMy WebLinkAboutTC Agd Pkt 2011-04-06TOWN OF TIBURON Tiburon Town Hall 1505 Tiburon Boulevard Tiburon, CA 94920 Regular Meeting Tiburon Town Council April 6, 2011 Closed Session - 6:00 p.m. Regular Meeting - 7:30 p.m. AGENDA TIBURON TOWN COUNCIL TIBURON REDEVELOPMENT AGENCY CLOSED SESSION-- (6:00 p.m.) CONFERENCE WITH LEGAL COUNSEL - INITIATION OF LITIGATION (Subdivision (c) of Government Code Section 54956.9) Claims relating to Del Mar Undergrounding Litigation CONFERENCE WITH LABOR NEGOTIATOR (Government Code Section 54957.6) Bargaining Units: Tiburon Police Association; SEIU Negotiators: Town Manager and Director of Administrative Services CALL TO ORDER AND ROLL CALL Councilmember Collins, Councilmember Fredericks, Councilmember O'Donnell, Vice Mayor Fraser, Mayor Slavitz CLOSED SESSION ANNOUNCEMENT, IF ANY ORAL COMMUNICATIONS Persons wishing to address the Town Council on subjects not on the agenda may do so at this time. Please note however, that the Town Council is not able to undertake extended discussion or action on items not on the agenda. Matters requiring action will be referred to the appropriate Commission, Board, Committee or staff for consideration or placed on a future Town Council meeting agenda. Please limit your comments to three (3) minutes. CONSENT CALENDAR All items on the Consent Calendar may be approved by one motion of the Town Council unless a request is made by a member of the Town Council, public or staff to remove an item for separate discussion and consideration. If you wish to speak on a Consent Calendar item, please seek recognition by the Mayor and do so at this time. 1. Town Council Minutes - Adopt minutes of February 16, 2011 Meeting (Town Clerk Crane Iacopi) 2. Town Council Minutes - Adopt minutes of March 2; 2011 Meeting (Town Clerk Crane Iacopi) 3. Town Council Minutes - Adopt minutes of March 9, 2011 Special Meeting (Town Clerk Crane Iacopi) 4. Town Investment Summary - Accept February 2011 report (Director of Administrative Services Bigall) 5. Tiburon Tourism Business Improvement District (TTBID) - Adopt ordinance amending Chapter 7A of Title II of the Town Code to increase TTBID assessments (Town Attorney Danforth) 6. Town Audit for FY 2009-10 - Accept and authorize filing of Independent Auditor's report for fiscal year ending 2009-10 (Director of Administrative Services Bigall) 7. Bay Trail Gap Closure - Adopt resolution approving acceptance of ABAG grant for study of extension of Bay Trail in the vicinity of Greenwood Beach Road (Director of Public Works/Town Engineer Nguyen) S. Marilyn Kessler Retirement - Adopt resolution commending Marilyn Kessler for a long and illustrious career as editor/publisher of the Ark newspaper upon the occasion of her retirement (Town Clerk Crane Iacopi) ACTION ITEMS 1. Lyford Drive Parking Project - Review of project, discussion and request for direction to Staff (Town Manager Curran/Director of Public Works/Town Engineer Nguyen) PUBLIC HEARINGS Time Extension for Design Review Approvals - Consider adoption of a Zoning Ordinance text amendment that would provide a one-year time extension for approved, unexpired Design Review permits; Town-initiated application - Introduction and first reading of ordinance (Director of Community Development Anderson) 2. Lyford Drive Parking Project - Consider establishing a streamlined Development Review procedure for the Lyford Drive Multi-modal Parking Lot Project located at the intersection of Lyford Drive and Tiburon Boulevard - Introduction and first reading of ordinance (Director of Community Development Anderson) TOWN COUNCIL REPORTS TOWN MANAGER'S REPORT WEEKLY DIGESTS • Town Council Weekly Digest - March 11, 2011 • Town Council Weekly Digest - March 18, 2011 • Town Council Weekly Digest -March 25, 2011 • Town Council Weekly Digest - April 1, 2011 ADJOURNMENT - to a meeting of the Tiburon Redevclopment Agency The Town Council meeting will be adjourned in memory of Charles McGlashan, District 3 Mal-ill County Supenlisor ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ 1 TIBURON REDEVELOPMENT AGENCY AGENDA CALL TO ORDER AND ROLL CALL Boardmember Collins, Boardmember Fredericks, Boardmember O'Donnell, Vice Chair Fraser, Chair Slavitz ORAL COMMUNICATIONS BUSINESS MEETING 1. Adoption of Minutes - Adopt Minutes of February 16, 2011 meeting (Board Clerk Crane Iacopi) 2. Adoption of Minutes - Adopt Minutes of March 2, 2011 meeting (Board Clerk Crane Iacopi) 3. Audit Report - Adopt and Authorize filing of Independent Auditor's Report for fiscal year 2009-2010 (Director of Administrative Services Bigall) ADJOURNMENT GENERAL PUBLIC INFORMATION ASSISTANCE FOR PEOPLE WITH DISABILITIES In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the Town Clerk at (415) 435- 7377. Notification 48 hours prior to the meeting will enable the Town to make reasonable arrangements to ensure accessibility to this meeting. AVAILABILITY OF INFORMATION Copies of all agenda reports and supporting data are available for viewing and inspection at Town Hall and at the Belvedere-Tiburon Library located adjacent to Town Hall. Agendas and minutes are posted on the Town's website, wwwv.ci.tiburon.ca.us. Upon request, the Town will provide written agenda materials in appropriate alternative formats, or disability-related modification or accommodation, including auxiliary aids or services, to enable individuals with disabilities to participate in public meetings. Please send a written request, including your name, mailing address, phone number and brief description of the requested materials and preferred alternative format or auxiliary aid or service at least 5 days before the meeting. Requests should be sent to the Office of the Town Clerk at the above address. PUBLIC HEARINGS Public Hearings provide the general public and interested parties an opportunity to provide testimony on these items. If you challenge any proposed action(s) in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing(s) described later in this agenda, or in written correspondence delivered to the Town Council at, or prior to, the Public Hearing(s). TIMING OF ITEMS ON AGENDA While the Town Council attempts to hear all items in order as stated on the agenda, it reserves the right to take items out of order. No set times are assigned to items appearing on the Town Council agenda. ) . cc--- / TOWN COUNCIL CALL TO ORDER MINUTES Mayor Slavitz c=Februa7ry16, ting of the Tiburon Town Council to order at 7:30 p.m. on Wednesda ,n Town Council Chambers, 1505 Tiburon Boulevard, Tiburon, Cali ROLL CALL PRESENT: COUNCILMEM BERS: PRESENT: EX OFFICIO: Collins, Fraser, Fredericks, O'Donnell; Slavitz Town Manager Curran, Town Attorney Danforth, Director of Administrative Services Bigall, Management Assistant Troy Bassett, Director of Community Development Anderson, Planning Manager Watrous, Director of Public Works/Town Engineer Nguyen, Police Chief Cronin, Town Clerk Crane Iacopi Prior to the regular meeting, the Council met in closed session, beginning at 6:30 p.m., to discuss the following: CLOSED SESSION CONFERENCE WITH LEGAL COUNSEL - INITIATION OF LITIGATION (Subdivision (c) of Government Code Section 54956.9) Claims relating to Del Mar Undergrounding Litigation CLOSED SESSION ANNOUNCEMENT, IF ANY Mayor Slavitz said that no action was taken in closed session. ORAL COMMUNICATIONS Patrick Hulsbus, Marsh road resident, complained of cars being driven too fast at the intersection of Marsh Road near the tennis courts. He asked that the Town "do something" about it. He said that he had spoken to Chief of Police about the problem. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 1 CONSENT CALENDAR 1. Town Council Minutes -Adopt minutes of January 19, 2011 regular meeting (Town Clerk Crane Iacopi) 2. Lyford Drive Parking Improvement Project - Adopt resolution authorizing Town Manager to execute Cooperation and Fundng Agreement with Tiburon Redevelopment Agency for project funding (Town Attorney Danforth) 3. Automated License Plate Reader Project - Adopt resolution accepting the work and authorize the filing of the Notice of Completion (Department of Public Works/Police Department) 4. 2312 Spanish Trail - Adopt resolution granting an appeal of a site plan and architectural review approval for construction of a new, detached, two-family dwelling with a detached two-family dwelling exception and variance for reduced front yard setback - (Planning Manager Watrous) Assessor Parcel No. 059-201-23 Owners: William and Joy Norris Applicant: Roger Hartley Appellants: Jerome Bernal, Shelley Brown, Celia and Ann DeMartini, Robert Harrison, Wallace Quinn, Dennis and Terry Schwakopf, Sue Zimmerman 5. Housing Funds from Tiburon Redevelopment Agency - Adopt resolution authorizing Town Manager to execute a Cooperation and Funding Agreement with Tiburon Redevelopment Agency for transfer of housing funds (Town Manager Curran/Town Attorney Danforth) Councilmember O'Donnell asked to remove Item No. 4 from the Consent Calendar. Town Manager Curran noted that revised resolutions pertaining to Consent Calendar Item Nos. 2 and 5 had been submitted to Council for its consideration. MOTION: To approve Consent Calendar Item Nos. 1, 2, 3 and 5, as submitted. Moved: Fredericks, seconded by Fraser Vote: AYES: Unanimous MOTION: To approve Consent Calendar Item No. 4, as written. Moved: Fredericks, seconded by Fraser Vote: AYES: Collins, Fraser, Fredericks, Slavitz NAYES: O'Donnell DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 2 PUBLIC HEARINGS 1. Tiburon Tourism Business Improvement District (BID) - Public Information meeting concerning proposed increase to assessment to lodging establishments within the Tiburon BID (Town Attorney Danforth) Town Attorney Danforth gave a brief report. She stated that this was the second of four meetings about the proposed increase to the Tiburon Tourism BID assessment. She introduced Mark Essman of the Marin County Visitors and Convention Bureau. Essman said that the initial district was formed in 2008 and now the two hotels that formed the district sought an increase to the initial assessment. Mr. Essman said that Tiburon was the "crown jewel" of Southern Marin and that he looked forward to further promoting it. Councilmember O'Donnell asked about some information in the written materials provided by the Visitor's Bureau, and whether the current expenditures were "working". Mr. Essman said that in the current economy, the Bureau was "rolling with the punches" and that although they took in less revenue, they were able to make more of it. He said they looked forward to a rebound in the economy. Councilmember Fraser noted that 62% of Bureau's expenditures were for "head count" in the written materials provided. He asked whether technology could be used more effectively in promotion. Mr. Essman said that the Bureau planned to use the "social network" more extensively since it was the primary way of reaching the 20- and 30-year old market. He also noted that all of the Bureau's promotion was done in-house and nothing was outsourced. There were no questions from the public. No action was taken by Council, as this was an information item only. 2. Ned's Way Recreation Facility - Review and consider for land use and zoning permit approval the site plan and architectural drawings for the Ned's Way Recreation Facility project and adoption of a Mitigated Negative Declaration - (Director of Community Development Anderson) Assessor Parcel No.: 058-151-27 Address: 600 Ned's Way Owner/Applicant: Town of Tiburon Item No. 2 was moved down on the agenda to be heard after the CVS Pharmacy appeal. 3. CVS Pharmacy - Two appeals of Planning Commission decision to approve a conditional use permit to operate a drug store and pharmacy in a building previously occupied by a grocery store (Planning Manager Watrous) DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 3 Assessor Parcel No.: 058-171-88 & 89 Address: 1599 Tiburon Boulevard Appellants: Cres Van Keulen, Neal Toft, Terry Hennessy and Patricia Goss Applicant/Appellant: Armstrong Development Properties, Inc. Planning Manager Watrous gave the report and detailed the appeal hearing procedure. Mayor Slavitz asked a question about the review of the conditional use permit (CUP). Slavitz noted that the Planning Commission had approved the CUP with a 90-day and one-year review. He asked if these were one-time, or recurring, reviews. Planning Manager Watrous said that the Planning Commission could schedule additional reviews as it sees fit, for instance, on a "complaint" basis, or maintain a continuing annual review. Mayor Slavitz asked if the hours of operation set forth in the CUP could be changed, upon review. Watrous said that they could be. Mayor Slavitz opened the appeal hearing to the first appellant, applicant CVS Pharmacy. Josh Eisenhut, Armstrong Development, representing CVS Pharmacy, said that the applicant's appeal focused on the number of lanes and the hours of the drive-through, as well as the hours of delivery. He said that the applicant's light studies showed that there were no significant impacts from the proposed drive-through lanes, and that the acoustical studies showed that the noise would not exceed the Town's thresholds to the adjoining properties. He noted that Town staff had conducted their own study which showed that a "worse case scenario" of light pollution might occur with "older type" headlights and high beams on; he said this study did not include a new wall that CVS proposed to build. Nevertheless, Eisenhut said that even without this mitigating measure, the light levels were virtually non-existent. He said that only two condominiums would be affected, with a light level the equivalent of a 60-watt light bulb. Eisenhut said that CVS was willing to work with the Town to further mitigate the situation, if necessary. He also noted that the drive-through had been shifted 20feet back toward Tiburon Boulevard, since the Planning Commission hearing. Mr. Eisenhut said that the double drive-through was an essential part of the CVS business model. He said it improved pharmacy efficiency and customer experience by alleviating long wait times during pharmacy consultations. This would result in the same level of customer service, inside and out. He said that two lanes would have no impact on the Marsh properties and was not incompatible with nearby uses. He asked that the Council allow the two-lane drive through. Eisenhut also said that the drive through hours should match the hours of operation for the store itself (7 a.m. to 10 p.m., not the 8:00 a.m. until 8:00 p.m., as approved by the Planning Commission). He said that this was important because the drive-through would be used by sick, elderly and disabled persons. He said and the intersection safety issues raised by residents could be addressed separately but noted that the studies had concluded that the light and noise impacts DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 4 were minimal. He also contended that the hours of delivery should match those already established in the Tiburon Municipal Code, both for fairness and ease of enforcement. Before turning his report over to the acoustical engineer, Council had some questions for Mr. Eisenhut concerning the width of the drive-through lanes (24 feet; 12-feet each) and how close they would be to the building itself (possibly one foot away). Councilmember Collins also asked where a recycling facility might be located (inside the store, according to Eisenhut) and whether merchandise differed from store to store. Specifically, Collins asked what portion of the merchandise was made up of food items. Mr. Eisenhut said that the items stocked were primarily convenience food and comprised less than 20% of the floor space in an 18,000 square foot store. Councilmember Fredericks asked about the possibility of adding or removing a second drive through lane at a later date. In response, William McDermott, Armstrong Development, said that adding another lane would be more difficult than removing one later because the engineering had to take into account the structural load on the roof and the installation of a pneumatic tube throughout the drive-through portion of the structure. Paul Bollard, noise consultant for CVS Pharmacy, said he based his study on a similar site in Elk Grove. He said that they measured 53 decibels of noise at night from the Pt. Tiburon Marsh location. He said that 50 decibels would account for all aspects of noise such as stereo speakers, idling vehicles, etc., during the 7 a.m. to 10 p.m. hours of operations at the pharmacy. He said that these levels were under the Town standards of 60 decibels and also satisfied the CEQA requirements. Councilmember Fredericks said that noise levels and how people actually perceive noise can be somewhat different. She asked how 50 plus 53 decibels could be less than 60. Mr. Bollard said that logarithmically, 50 plus 53 would equal 54. Councilmember Fraser asked if there were any other CVS pharmacies with drive-through lanes in Marin County, or whether Elk Grove was the closest one. He also asked what percentage of business was done in the drive-through lanes. Mr. McDermott said that the majority of the business was done in the store, and that they anticipated 25-30 cars per day which would comprise 10% of the business in the Tiburon location. Mayor Slavitz opened the hearing to the second group of appellants. Neil Toft, representing the Pt. Tiburon Marsh residents who comprised the second group of appellants, said they were not against CVS Pharmacy, rather, their primary concern was the drive-through. He also said that there were other issues surrounding the application, such as the failure to receive the public hearing notice, as well as an inadequacy of plans presented. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 5 J Toft said that the approval of a drive-through represented a precedent in Marin County for CVS stores. He said the drive-through would be a "boxy, tacked, on" structure, requiring an elevating driveway, and that it would have prominent activity, lighting and noise from intercoms at night. He asked why this new element was necessary because many pharmacies now provided delivery services. He said that the neighbor/appellants concluded that the drive-through would constitute "blight" to the Beach Road area, and said that the Town's General Plan while not restricting it, did not encourage this type of activity either. Mayor Slavitz asked whether the drive-through would be automatically permitted to any future tenants. Planning Manager Watrous said any new tenant would be required to apply for a CUP, if it were a different use, and that if a new tenant did not need the drive-through, it would merely become an architectural "appendage" to the building. Mayor Slavitz asked whether a drive- though was required to have an overhang. Watrous said that this was not a building code requirement. Appellant Cres Van Keulen added her voice to the traffic and pedestrian safety concerns in the area. She said that the corner at Beach Road next to the CVS driveway was not a safe area to add more vehicle traffic. She said that every Marsh resident had had "near misses" when walking in this area, and she said that the area was used by many more pedestrians, in addition to those living at the Marsh. Van Keulen described how trucks would have to back into the loading dock with their "noses" stuck out into traffic in the same "blind spot" described by Ms. Hulsbus in public comment time. She said that the Pt. Tiburon Marsh fence had been knocked down several times in this area, and that the drive-through and delivery hours would be an additional traffic burden not currently in existence. Mayor Slavitz pointed out that trucks previously made deliveries to this location when it was a grocery store; Ms. Van Keulen agreed but noted that cars exiting the drive-through lanes would create additional traffic into this intersection. Appellant Terry Hennessy reiterated her support for the pharmacy and said that the Pt. Tiburon residents wanted to be "good neighbors". However, Ms. Hennessy urged the Council to preserve the unique character of downtown Tiburon, stating that a drive-through would be inconsistent with planning for pedestrian access to downtown. She also said that a drive-through would set a precedent for future applicants. She said that in 2005, drive through restaurants were banned downtown, and that the only reason a drive-through was approved for the Bank of America in 1972 was that the Planning Commission was "too tired" after a long meeting to reject it. She said that if the CVS drive-through was approved, the "ugliest part" of the Bank of America would be replicated across the street. Ms. Hennessy said that it was the duty of the Town Council to protect its residents and she urged _ the Council, even if it ruled against the, Pt. Tiburon Marsh appellants, to at least uphold the hours of operation approved by the Planning Commission. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 6 Appellant Patricia Goss said that she was well aware of noise generated by the grocery store usage in that location; she asked that the hours of truck deliveries be further reduced to 8 a.m. to 6 p.m. Before opening the hearing to public comment, Council asked Planning Commission Chair Frymier for her comments. Councilmember O'Donnell asked Frymier how the commission reached a decision on the one- stall versus two, drive through lanes. Chair Frymier said that the traffic estimates of 5-7 cars did not seem to necessitate two lanes. Mayor Slavitz asked why one lane was approved at all. Chair Frymier said that the look and design of the drive through was discussed by the Commission which ultimately concluded that one would be superior on the site. Chair Frymier also said that the commission took into account the needs of the community in its approval of the drive through. She said that the housing element of the General Plan projected a 75% increase in the elder demographic; she also said that many of the younger families preferred to go through the drive through when they had children in the car. Councilmember Fredericks questioned the use of demographical statistics. She wondered what kind of disabled people might drive but not walk, and who these people were. Planning Manager Watrous said that the Planning Commission did not delve into this level of specificity; however, he said that all of the Commissioners identified segments of the community who would benefit from the drive through, including sick people who did not want to get out of their cars and go into the store. Councilmember Fraser noted that of the 7 or 8 CVS pharmacies in Marin, none had drive through facilities. Mayor Slavitz opened the hearing to the public. Jackie Brown, Pt. Tiburon Marsh resident, said that trucks often showed up for deliveries earlier than specified, and then just sat and idled, played music on their radios, etc. She said that the Town's downtown consultant had stated that the Town would benefit from pedestrian-friendly design changes in the downtown area and that this seemed like the opposite direction. She said that the safety concerns in that location also spoke against approval of a drive through. Michael Scippa, 36-year resident, now residing at Pt. Tiburon Marsh, agreed that it was great to be able to walk everywhere and enjoy the small-town "village". He questioned the decision to "rush" to find a tenant in that area in order to bolster sales tax revenues. Scippa said that the drive through was not in keeping with the small-town character, a vision shared by both Ed Zelinsky and his father, Fred. He said that CVS "needs to value what we value" and said that the concerns about light, noise, and traffic were real. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 7 Mr. Scippa also expressed concern about alcohol sales, and-whether they would be completed through "self' check-outs, and possible teen shop-lifting of alcoholic beverages. Susan Schneider, Marsh Road resident, said she was in favor of the CVS Pharmacy, but not the drive through. Ilse Gonzalez, Marsh Road, concurred with the "ugliness" of the drive through and the safety issues, as well as air quality issues from idling cars. Virgie Serra, Marsh Road, said she was concerned at what type of business might follow CVS in that location if the pharmacy did not succeed. TJ Lucas, Centro West, said she preferred having a drive through, and noted that she drove all the way to Walgreens in Mill Valley to use one. She said that it was the same thing as the drive through at Wells Fargo Bank, that it provided a convenience to residents; she stated that it was especially important to single mothers and parents would did not want to carry a baby inside. Claude Perasso, Peninsula Road, noted the low number of cars projected by CVS that would use the drive through and said it would not be like "In N Out Burger" with a high volume; said that most CVS pharmacies did not have drive through facilities because they were "in-line" stores. Perasso stated that noise was not really an issue and that the existing line of trees in that location would block the light from car headlights. Mr. Perasso said that he could not emphasize enough what a convenience a drive through would be to the community; that it would lessen traffic on Tiburon Boulevard; in addition, he said it would bring more people downtown. Chuck Rieff, Vistazo West, echoed the last speaker's remarks. He said he was concerned that Tiburon was a "tough place to do business" because of the NIMBYism expressed; said that the Planning Commission had done a good job sorting out the issues and noted that the applicant had stated its willingness to work with the community. Rieff questioned the importance of the issue of safety that had been raised, and asked whether there had been accidents or incidents reported from use of the drive through at Bank of America. Allan Bortel, the Reedlands, said that drive through facilities did provide benefits for families with sick children, and were more convenient than having the get kids in and out of car seats. He asked whether the drive through in that location might go the other direction to mitigate the headlight question. Ken James, Marsh Road, said that headlights would be directly visible into his unit; he asked the Council if it wanted approval of a drive through as its "legacy". Mayor Slavitz closed the public hearing and opened the hearing to rebuttals by the appellants. DRAFT Town Council Minutes #.x -2011 February 16, 2011 Page 8 Mr. McDermott clarified that the eight CVS stores in Marin were existing stores "inherited" by CVS from Longs Drugs. He said that CVS was seeking drive-through opportunities for its stores. He reiterated how willing CVS was willing to work with the community and he said they would be willing to install traffic calming devices, signs and vegetation, among other things, in the Tiburon location. He said they would work with staff to more fully develop these plans. He said they would even be willing to limit the hours of delivery, as requested by the other appellants, but that the drive through was the most important aspect of their application. McDermott said that, if approved, the applicant would construct and operate two drive through lanes and that after 90 days, they would be willing to eliminate one lane, if so directed. He said that the CVS drive through in Tiburon would be integrated into the facility and would be a lower profile than the Benicia store shown in the photos distributed by one of the speakers. Vice Mayor Fraser said that he, too, loved "our village environment" and sought to maintain its character and charm. But he also said that the CVS business model made sense and asked if they would be willing to "soften" the design and possibly make it "fit" more into the community. Mr. McDermott said that it would be "our pleasure" to work with the Town to achieve this. Mayor Slavitz asked for further exploration of a one-lane drive through and whether an extended canopy was actually needed. Mr. McDermott said that CVS still had to look at the structural and engineering components of the drive through. Mayor Slavitz asked whether the drive through might be moved to the opposite side of the store. Mr. McDermott said that it was on a separate parcel of land and not within the CVS leasehold. Councilmember Fredericks asked whether the one- or two-lane issue could be decided by the Design Review Board in its review of the application. Planning Manager said that it could not, because the CUP had to be established by the Planning Commission. Mayor Slavitz asked whether the DRB could set the design parameters of the drive through, one lane or two. Planning Manager Watrous said that it could. Councilmember Collins said that in his research he had determined that 10 out of 12 CVS stores with drive through facilities used a single lane. Second appellant Terry Hennessy said that she appreciated the concessions made by CVS to delivery hours but said that CVS was denied a drive through by the City of San Rafael because the stacking lane would back up into traffic, and that they were also turned down in Novato for similar traffic safety concerns. She said the store parking lot had been "sinking for 40 years"; she said that noise and light were issues in the area which had a "bowl effect"; stated that if noise was not an issue, why was CVS willing to build a wall. She asked the Council to deny the CVS appeal and deny the drive; failing that, to keep the Planning Commission conditions in place. Mayor Slavitz closed the appeal hearing at 9:28 p.m. and returned the discussion to the Council. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 9 Councilmember Collins addressed safety at the Beach Road/Marsh Road intersection and asked the Town Engineer if the existing crosswalk might be moved to the other side of the intersection. The Town Engineer noted that the sidewalk ended in that location and did not extend onto one side of the intersection, but said it might be possible to make certain improvements. Councilmember O'Donnell said that the project was very important, even critical, to the community as a whole, and that it represented a revitalization of increasing suburban "blight" of the downtown area. He said that CVS had been very accommodating to the community, and that everyone needed to have a stake in ensuring its success. O'Donnell said that he had conducted his own "field test" with regard to lights and said that he concluded that the car headlights would have no effect on the adjacent residences. He said he had to wait in line at the Bank of America drive through and it started him thinking about the convenience of having two lanes; he said he would be willing to support the applicant's request for two lanes. Councilmember O'Donnell acknowledged that the Pt. Tiburon Marsh residents did not receive the public hearing notice [due to the failure of mail delivery] but said that it was not a valid ground to deny the appeal because the hearings were well publicized. O'Donnell said that CVS Pharmacy would not represent a change in use of the property and that there would be less impact from truck deliveries because there would be fewer, if any, refrigeration trucks. He said the application was consistent with the goals of the Tiburon General Plan and that the community had stated its desire for a pharmacy in town as long as he had lived here. Councilmember O'Donnell said that he would support the applicant's request to keep the hours of delivery consistent with existing Town code, for fairness; he said it was an excellent application and would be good for downtown Tiburon. Councilmember Fredericks said that CVS would also provide a benefit to the community as a place in town to buy sundries; she stated, however, that "many of us" buy on-line or use delivery services for other items. Fredericks acknowledged the convenience of a drive through facility but said that the downside was an increased noise increment, as well as the creation of active commercial frontage on Beach Road in a "quiet corner" of downtown Tiburon. She said that she appreciated the concessions made by CVS, and acknowledged that the Planning Commission had done a good job in balancing the issues by limiting the hours of delivery. Vice Mayor Fraser said that all the comments by both sides pointed toward a solution that would work well for the community. He said that two lanes in the drive through might be "one too many' and that CVS should look to the Carmel downtown in the way businesses there "matched" the community aesthetics and character. The Vice Mayor said that he would be in favor of DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 10 upholding the Planning Commission CUP approval, which included the one lane drive through, with an appropriate design. Councilmember Collins concurred; he said that while he was personally not in favor of the drive through, it was important to balance the needs of the overall community for the convenience of a drive through. He said that the Planning Commission did a good job in balancing the issues. He said everyone wanted CVS to come to town, and that its business model included drive through facilities; he opined that one lane might even lessen the perceived negative traffic impacts. Collins said that that the [lack of] notice was no longer an issue. He said that the application complied with the General Plan, that there were no variances, and that its use would have a lesser impact than the grocery store previously located on the site. Mayor Slavitz agreed that the Council should find a solution that met the community's needs and the needs of the neighbors by limiting hours of delivery and use of the drive through. But he said the applicant's plans to him looked like a "big downtown" solution rather than a small town one. He urged the applicant to come up with a design that was a "Tiburon solution" with perhaps a lower profile drive through, not as wide as proposed, without the use of a large column, and to match the existing architecture of the building. He said that the CUP would be reviewed in 90 days, and again in one year, and that if problems with the drive through existed, it could be removed. Councilmember O'Donnell said that site work still had to be done to determine the engineering of the drive through; he agreed that a "small town" look was ideal but recommended leaving the details of the design scheme to the DRB. Councilmember Fredericks recommended some language along the lines of constructing the "minimum structure necessary" to provide for a drive through, if approved. Mayor Slavitz concurred with this recommendation; he said he also wanted to ask the applicant to minimize lighting and to use tasteful signage in its design application. Planning Manager Watrous asked if a motion was being formulated to uphold the Planning Commission approval with direction to the DRB to minimize the volume of the drive through, along with visual impacts, to fit with the building design, and with the addition of items listed on page 13 of the staff report that the applicant had expressed its willingness to construct. Mr. Armstrong said the he appreciated the civility of the Council and the productive conversation, although he still maintained that CVS wanted a two-lane drive through facility. Council indicated that it would not be willing to concede that point. MOTION: To uphold the Planning Commission approval of the CVS Pharmacy application, _ with additional design direction to the Design Review Board, along with the improvements listed on page 13 of the staff report to be added to the conditions of DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 11 approval, along with amended hours of delivery as requested and agreed to by the appellants, and to direct staff to return to Council with two resolutions reflecting the above findings. Moved: Fredericks, seconded by Collins Vote: AYES: Unanimous Mayor Slavitz returned to Public Hearing Item No. 2. 2. Ned's Way Recreation Facility - Review and consider for land use and zoning permit approval the site plan and architectural drawings for the Ned's Way Recreation Facility project and adoption of a Mitigated Negative Declaration - (Director of Community Development Anderson) Assessor Parcel No.: 058-151-27 Address: 600 Ned's Way Owner/Applicant: Town of Tiburon Director of Community Development Anderson gave the report, stating that the application had been analyzed and found to be consistent with the General Plan and CEQA streamlining procedures. He recommended that the Council adopt the resolution adopting the negative declaration and mitigation measures. Councilmember Fredericks asked about the hearing process and the extent of the notification of the surrounding neighbors. Anderson said that notices would be sent to property owners within 300 feet, per Town policy. This would include Chandler's Gate, the Hilarita, but would not extend as far as Spring Lane, according to the Director. Fredericks asked about the size of the "V-6 soccer field" in the drawings. Management Assistant Troy Basset said this was a small, 15 x 30 field. Mayor Slavitz opened the public hearing. Allan Bortel, Reedlands, said he had walked the property and that it looked to him like an ideal site for the project as described. He said that it would enhance the town and would free up space at Town Hall, as noted in the staff report. Mayor Slavitz closed the public hearing. Councilmember O'Donnell said that he and Vice Mayor Fraser comprised the subcommittee for this project. He said that the space would be designed not just for after school programs for children at Reed School, but would also have increased programming capabilities for adults, as well. He acknowledged that detailed costs of the projects were not yet available, but he said that the Council could move forward with the streamlining procedures while waiting to evaluate the costs. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 12 Town Manager Curran concurred with this analysis and said that staff would return some time in March or April with project costs, and estimated that the project could go out to bid in April. While this timeline would not allow for completion of the project by the beginning of the next school year, Curran said that an interim solution was being contemplated. The Town Manager acknowledged all the time and hard work on the project to date by the team of staff and council members, architect Berger, and others. Nevertheless, Curran stated said that the Council could still "walk away from the project" after this juncture. Councilmember Fredericks added her thanks to the team on behalf of the Council. MOTION: To adopt the resolution approving the project and adopting the negative declaration and mitigation measures, as written. Moved: Fredericks, seconded by O'Donnell Vote: AYES: Unanimous 4. Repeal of Zoning Ordinance-Based Green Building Regulations - Introduction and first reading of an ordinance repealing Article IX (Green Building) and related sections of Chapter 16 (Zoning) of the Tiburon Municipal Code; adoption of a resolution rescinding Green Building Standards from the current zoning-based system (Director of Community Development Anderson) Council waived the staff report. Mayor Slavitz opened the public hearing. There was no public comment. Mayor Slavitz closed the public hearing. MOTION: To read the ordinance by title only. Moved: O'Donnell, seconded by Fredericks Vote: AYES: Unanimous Mayor Slavitz read, "An ordinance of the Town Council of the Town of Tiburon repealing the Zoning Ordinance-based Green Building Regulations contained in Title IV, Chapter 16 (Zoning) of the Tiburon Municipal Code." MOTION: To pass first reading of the ordinance, as written. Moved: O'Donnell, seconded by Fredericks Vote: AYES: Collins, Fraser, Fredericks, O'Donnell, Slavitz NAPES: None TOWN COUNCIL REPORTS • Marin Clean Energy Update (Councilmember Collins) The Council accepted Councilmember Collins' written report, as submitted. DRAFT Town Council Minutes #xx -2011 February 16, 2011 Page 13 Councilmember Fredericks reported that at the League of California Cities Board meeting, an ad hoc committee was formed to study the future of redevelopment and to ensure that projects continued that would preserve jobs and create affordable housing in communities. Fredericks also reported that the Transportation Authority of Marin (TAM) was in the process of organizing a Marin Sustainable Communities (SCS) ad hoc committee. She said that each member city was invited to designate a member of their governing body to serve on this committee which would provide a forum for consideration of the various proposals leading up to the final SCS proposal, pursuant to SB 375. Fredericks said she would be willing to represent the Town on this ad hoc committee. The Council concurred with her recommendation. TOWN MANAGER'S REPORT • Proposed participation in developing a kiosk for downtown There was no Council consensus at this time for a monetary contribution to this project. • Requested contribution to Walk Your History event Council concurred with the Town Manager's recommendation to make a $2,500 contribution to this biennial event. WEEKLY DIGESTS • Town Council Weekly Digest - January 21, 2011 • Town Council Weekly Digest - January 28, 2011 • Town Council Weekly Digest - February 4, 2011 • Town Council Weekly Digest - February 11, 2011 ADJOURNMENT There being no further business before the Tiburon Town Council, Mayor Slavitz adjourned the meeting at 10:32 p.m. to a meeting of the Tiburon Redevelopment Agency (see separate minutes). JEFF SLAVITZ, MAYOR ATTEST: DIANE CRANE IACOPI, TOWN CLERK DRAFT Town Council Minutes #xx -2011 February, 16, 2011 Page 14 TOWN COUNCIL MINUTES CALL TO ORDER Mayor Slavitz ca r meeting of the Tiburon Town Council to order at 7:30 p.m. on Wednesda , March 2, 2011, in Town Council Chambers, 1505 Tiburon Boulevard, Tiburon, California. ROLL CALL PRESENT: COUNCILMEMBERS: PRESENT: EX OFFICIO: Collins, Fraser, Fredericks, O'Donnell, Slavitz Town Manager Curran, Town Attorney Danforth, Director of Administrative Services Bigall, Director of Community Development Anderson, Director of Public Works/Town Engineer Nguyen, Police Chief Cronin, Town Clerk Crane Iacopi Prior to the regular meeting, the Council met in closed session, beginning at 6:15 p.m., to discuss the following: CLOSED SESSION PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government Code Section 54957) Title: Town Attorney CONFERENCE WITH LEGAL COUNSEL - INITIATION OF LITIGATION (Subdivision (c) of Government Code Section 54956.9) Claims relating to Del Mar Undergrounding Litigation CLOSED SESSION ANNOUNCEMENT, IF ANY Mayor Slavitz said that no action was taken in closed session. ORAL COMMUNICATIONS None. Town Council Minutes #.xx -2011 xxxxxxx, 2011 Page 1 PRESENTATION • Independent Campaign Expenditure Ordinance (Elissa Giambastiani) Ms. Giambastiani, Chair of the Campaign Reform Committee of the League of Women Voters in Marin County, said that there was an increased lack of civility in the political arena, and especially notable were the proliferation of "hit pieces" late in the election cycle against candidates and measures. She said that the proposed ordinance promoted greater transparency so that voters would know who had made independent expenditures (the main source of funding for "hit pieces"), and that this information would be available to voters in a more timely manner. Ms. Giambastiani asked the Council to consider adoption of a campaign disclosure ordinance that the League hoped would be adopted county-wide. She said that the County of Marin and the City of San Rafael had already adopted such ordinances. Ms. Giambastiani said that current [state] law did not go far enough in requiring the disclosure of independent expenditures. Mayor Slavitz asked if the ordinance would require filings, in addition to those required by state law. Ms. Giambastiani said that existing law only required "late filings" of independent expenditures. She said that the Marin and San Rafael ordinances required disclosure statements to be filed with the city clerk at regular intervals during an election campaign, and that they be posted on the county/city websites. Councilmember Fredericks asked if the ordinance would apply only to independent expenditure committees. Ms. Giambastiani said that it would apply to these committees, as well as "primarily-formed" committees. The Council expressed general agreement with the idea of increased transparency but asked that staff provide additional information to Council for further evaluation of the request. CONSENT CALENDAR 1. Town Council Minutes - Adopt minutes of February 8, 2011 Special Meeting/Retreat (Town Manager Curran) 2. Town Investment Summary - Accept January 2011 report (Director of Administrative Services Bigall) 3. CVS Pharmacy - Resolutions denying the CVS appeal and partially upholding the Pt. Tiburon Marsh neighbors' appeal of the Planning Commission decision to approve a conditional use permit to operate a drug store and pharmacy in a building previously occupied by a grocery store (Planning Manager Watrous) Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 2 Assessor Parcel No.: 058-171-88 & 89 Address: 1599 Tiburon Boulevard Appellants: Cres Van Keulen, Neal Toft, Terry Hennessy and Patricia Goss Applicant/Appellant: Armstrong Development Properties, Inc. 4. Repeal of Zoning Ordinance-Based Green Building Regulations - Adoption of an ordinance repealing Article IX (Green Building) and related sections of Chapter 16 (Zoning) of the Tiburon Municipal Code (Director of Community Development Anderson) 5. Repeal of Zoning Ordinance-Based Green Building Regulations - Adoption of a resolution rescinding Green Building Standards from the current zoning-based system (Director of Community Development Anderson) 6. Fair Housing Month - Proclamation in support of April 2011 Fair Housing Month in Tiburon (Town Clerk Crane Iacopi) 7. Agreement with Franchise Tax Board - Authorize Town Manager to enter into an agreement with the California Franchise Tax Board for Exchange of Tax Date Information (Director of Administrative Services Bigall) 8. 2010 Street Rehabilitation Project - Adopt resolution accepting the work and authorize the filing of the Notice of Completion (Director of Public Works/Town Engineer Nguyen) 9. Purchase of Unit at Chandler's Gate - Recommendation to approve a loan to Marin Housing Authority for Below Market Rate Unit at Chandler's Gate (Director of Administrative Services Bigall) The Council removed the following items from the Consent Calendar-Nos. 1, 3 and 7 and 8 for discussion. MOTION: To approve Consent Calendar Item Nos. 2, 4, 5, 6, and 9, as submitted. Moved: Fraser, seconded by Fredericks Vote: AYES: Unanimous Town Council Minutes - Adopt minutes of February 8, 2011 Special Meeting/Retreat (Town Manager Curran) Councilmember Collins asked whether it would be possible to obtain some additional demographic information regarding the Angel Island ferry. Town Manager Curran said that staff would follow-up on his request. Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 3 3. CVS Pharmacy - Resolutions denying the CVS appeal and partially upholding the Pt. Tiburon Marsh neighbors' appeal of the Planning Commission decision to approve a conditional use permit to operate a drug store and pharmacy in a building previously occupied by a grocery store (Planning Manager Watrous) Assessor Parcel No.: 058-171-88 & 89 Address: 1599 Tiburon Boulevard Appellants: Cres Van Keulen, Neal Toft, Terry Hennessy and Patricia Goss Applicant/Appellant: Armstrong Development Properties, Inc. Councilmember Fredericks asked if the words "and necessity" could be removed from paragraph 2 on page 2 of the second resolution, or if they were required terms. Director of Community Development Anderson responded that the words were part of the finding required by the State Department of Alcohol and Beverage Control. Councilmember Fredericks also asked whether, during the 90-day review process, the Planning Commission might look at the self check-out operation in light of concerns raised about possible sales of cigarettes and alcohol to minors. CVS representative William McDermott responded that the business practice of CVS required cigarettes to be kept behind the sales counters, and that the checkers were required to ask for identification prior to sale. In addition, he said that when alcohol was scanned at the self check- out counter, a "beep" occurred that would alert staff to come to the counter to complete the transaction. Councilmember Fredericks said that these practices seemed to address the concerns expressed. 7. Agreement with Franchise Tax Board - Authorize Town Manager to enter into an agreement with the California Franchise Tax Board for Exchange of Tax Data Information (Director of Administrative Services Bigall) Councilmember O'Donnell asked whether the agreement for data exchange was new. Director of Administrative Services said that while it was "new" to the Town, it was not a new practice or agreement, and was utilized by other cities. O'Donnell asked if the data exchange would include information concerning home businesses. Bigall said that it would, in addition to businesses in commercial areas. A brief discussion ensued about the town's business license process and licensing home businesses. Councilmember O'Donnell said that he thought the Town's business license ordinance had not "kept up with the times"; that many more people worked at home in the modern world and he wondered whether the current laws represented "double taxation" and also a "big brother" approach to government. Ms. Bigall said that the purpose of the town's regulations were to "level the playing field" so that everyone who had a business in town would obtain a business license, and be in compliance with Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 4 the Town Code. She said the proposed agreement was "just another tool in the tool box" to help the town obtain that information and enforce its ordinance.- Councilmember Fredericks noted that the cost of a home business license ($100 per year) did not seem onerous. Councilmember Collins noted that there were certain [home] businesses that were exempt from the existing ordinance. Mayor Slavitz said that at times, the current law seemed unfair because many people paid for businesses operated out of their homes, but many others did not, and there was little the town could do about it. The Mayor said that the broader question of whether or not the town should be collecting for home business licenses could not be undertaken in the context of the current agenda item, and he proposed that the Council discuss it at a later date. 8. 2010 Street Rehabilitation Project - Adopt resolution accepting the work and authorize the filing of the Notice of Completion (Director of Public Works/Town Engineer Nguyen) Councilmember Collins asked whether the outstanding claims against the contractor mentioned in the staff report had been resolved. Director Nguyen said that he was certain that they would soon be resolved; he added that the Town held a10% retention on the project payment which protected the Town for any outstanding claims. Councilmember Collins suggested that language be added to the resolution accepting the project, "pending release of claims," then noted that the language was already contained in the resolution. On this basis, the Director recommended that the Council accept the project as complete at this time. MOTION: To approve Consent Calendar Item Nos. 1, 3, 7 and 8, as submitted. Moved: Fredericks, seconded by O'Donnell Vote: AYES: Unanimous ACTION ITEMS 1. Annual General Plan Implementation Report - Consider Acceptance of the annual General Plan Implementation Status Report for Calendar Year 2010 (Director of Community Development Anderson) Director Anderson said the annual report generally reviewed progress on implementing programs contained with the Town's General Plan ("Tiburon 2020") during the calendar year, with certain housing data covering the period 2007-2010. He said the report was also used by the State in conjunction with its review of the Housing Element of the General Plan. Vice Mayor Fraser asked when the next Tiburon General Plan update was scheduled to take place. Anderson said that there was no fixed timeline; he said that the last one was completed 16 years after its predecessor; he said he expected the current plan to be in place until 2020. Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 5 Councilmember Fredericks asked if SB 375, which requires the preparation of the Sustainable Communities Strategy (SCS) plan, would affect the current Land Use Element of the General Plan. Anderson said that while SB 375 addressed planning and transportation issues, it did not require that local general plans be amended to be consistent with the SCS plan. Vice Mayor Fraser posed the question of how the Town might more successfully do long-term planning with regard to some of the stated goals in the report. For example, he asked how the Town could address issues related to the maintenance and improvement of Paradise Drive; how to make it more pedestrian-friendly, and the like. Councilmember Fredericks said that she and Mayor Slavitz had served on a Council subcommittee and had participated in many meetings with the County of Marin over issues related to Paradise Drive. She said that neither the County nor TAM could promise funding for its long-term maintenance. She said that Measure "A" funds were slated for other, more pressing transportation needs and that the County did not view Paradise Drive as a well-travelled road that rose to the level of priority funding. Director Anderson added that the County had recently resurfaced Paradise Drive from the Corte Madera limit to Trestle Glen Boulevard, despite earlier indications that there was no money to pay for such work; he speculated that the Town's efforts regarding Paradise Drive may have played a role in the substantial expenditure that the County had made. Councilmember O'Donnell asked whether pre-annexation of the Martha Property was still in process. Director Anderson said that the pre-zoning was stayed pursuant to the settlement agreement between the Town and the Martha Company, and that annexation was addressed in the memorandum of understanding worked out by the Town and Martha Company. He added that the area in question [Martha Property] only represented one out of six miles of Paradise Drive. Mayor Slavitz asked if anyone from the public wanted to comment on this item. There was no public comment. MOTION: To accept the report, as submitted. Moved: Collins, seconded by Fredericks Vote: AYES: Unanimous 2. Solar Panel Policy - Consider adoption of resolution amending Town of Tiburon's "Policy for Solar Collector Panels" (Director of Community Development Anderson) Director Anderson said that the Town Council last revised its solar collector panel policy in February 2005. Anderson said the stated purpose of the policy was "to support the State of California in encouraging the use of solar collector panels while also encouraging design which will help to protect and maintain the valued aesthetic qualities which make Tiburon unique". He said the policy set forth voluntary guidelines for the installation of roof-mounted solar collector panels, and offered the incentive of significantly reduced building permit fees for those Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 6 i applicants who adhere to those guidelines. Anderson said the Town had been recently contacted by an environmental organization that expressed concern over the potential cost of building permits for solar panel systems on commercial buildings that did not meet the Town's voluntary guidelines for installation, and therefore did not qualify for the building permit fee reductions set forth in the Town's policy. The fee differential could be quite substantial, according to Anderson. He said this issue was raised at the Town Council/Staff Retreat on February 8 and the Council directed staff to place the issue on a future agenda. Anderson said that the primary factor in the current policy that inhibits compliance with the Town's guidelines for flat-roofed buildings is the requirement for essentially flush-mounted roof panels, i.e., panels that do not extend more than 8 inches above the roof surface. The Director said that many commercial buildings in Tiburon are flat-roofed or nearly flat-roofed buildings. For purposes of the Town policy, "flat-roofed" is defined as having less than or equal to a 2 in 12 roof slope. The 8-inch height limit is a major deterrent to Town guideline compliance on flat-roofed buildings since it provides a low angle to the sun for solar energy collection and greatly reduces the solar energy system's efficiency and power generation capability. According to Anderson, one possible approach that staff sees as having minimal consequence is to increase the height limit above the roof surface on flat-roofed commercial buildings to 18 inches, or an increase of 10 inches over what the policy currently allows. He said that 10 inches is rather short and the visual impacts of the increase would be quite limited. Furthermore, since many flat-roofed commercial buildings in Tiburon have a 2- to 3-foot tall parapet wall extending around the roof, the additional visibility of any slightly taller solar panels would be further minimized. He added that any existing roof parapet would need to be retained or replaced as part of the solar panel project. The Director said that this requirement would reduce the visibility of the support structures and other mechanical components generally less aesthetically pleasing than the solar panels themselves. The Director said that staff does not anticipate that the policy revisions would dramatically increase the number of Tiburon commercial building owners who choose to install solar collector panels, but that the revision somewhat "levels the playing field" for flat-roofed commercial buildings with respect to the solar panel incentives provided by the Town. Anderson said that staff does not support extending the height limit to flat-roofed residential buildings for aesthetic and safety reasons. He said that residential structures generally do not have parapet roofs and are more likely to suffer wind-load-related problems from solar panels that extend higher from the roof surface. Councilmember Fredericks commented that more panels had to be installed on flat-roofed residential buildings to make a viable system, and there were more maintenance issues related to _ this type of installation. She said this was seen as a disincentive to some owners. Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 7 Councilmember Collins asked what the average permit fee was to install a solar system. Anderson said that for a $25,000 system, the permit was $ 1,250, which would be largely waived if the [commercial] project met the criteria in the amended policy. MOTION: To adopt resolution amending the Town's solar policy, as written. Moved: O'Donnell, seconded by Fredericks Vote: AYES: Unanimous 3. Appointments to Boards, Commissions and Committees - Consider reappointment of board and commission members whose terms expired at the end of February 2011 (Town Clerk Crane Iacopi) Town Clerk Crane Iacopi said that all of the incumbents whose terms expired at the end of February had notified the Town of their interest in being reappointed. She said that there were no additional applicants for the positions at this time. MOTION: To reappoint Erin Tollini to the Planning Commission; Linda Emberson and John Kricensky to the Design Review Board; Marlene Rice and Ric Postle to the Heritage & Arts Commission; Jane Jacobs and Jerry Riessen to the Jt. Recreation Committee; and Peter Winkler to the Parks, Open Space & Trails Commission. Moved: Fredericks, seconded by Fraser Vote: AYES: Unanimous PUBLIC HEARINGS 1. Tiburon Tourism Business Improvement District (BID) - Protest hearing; Introduction and 1 St reading of ordinance concerning proposed increase to assessment to lodging establishments within the Tiburon BID (Town Attorney Danforth) Town Attorney Danforth gave the report. She said the proposal to raise the assessment from 1 % to 2% had been brought to the Council at the behest of the two hotels in town that comprised the Tiburon Tourism Business Improvement District Assessment District (TTBID). Vice Mayor Fraser asked if moving forward with the increased assessment would have a negative impact if the Town decided to form its own business improvement district. The Town Attorney said that formation of a BID had to be approved by the entities being assessed. Councilmember O'Donnell asked whether the Town could withdraw from the current BID. Town Attorney Danforth said that there was a termination clause in the ordinance; however, she also noted that the two hotels had stated their satisfaction with what the services received from the current BID, through the Marin County Visitor's Bureau. The Town Attorney said that this hearing was the protest hearing for the proposed increase to the Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 8 current assessment. Town Clerk Crane Iacopi said that no written protests had been received. Mayor Slavitz opened the public hearing and asked if anyone wanted to submit a written protest. There were no written protests submitted. Mayor Slavitz closed the public hearing. MOTION: To read the ordinance by title only. Moved: O'Donnell, seconded by Fraser Vote: AYES: Unanimous Mayor Slavitz read, "An ordinance of the Town Council of the Town of Tiburon amending the Tiburon Tourism Business Improvement District (TTBID) in the Town of Tiburon." MOTION: To pass first reading of the ordinance, as written. Moved: Fredericks, seconded by O'Donnell Vote: AYES: Collins, Fraser, Fredericks, O'Donnell, Slavitz NAYES: None TOWN COUNCIL REPORTS Councilmember Fredericks said that a question had arisen at the last Legislative Committee meeting about pension reform. Fredericks said that there had not yet been much information at the state level for the committee to consider. Councilmember O'Donnell, Tiburon's appointee to the MCCMC ad hoc committee on pension reform, made a brief report. He said that there had been two meetings and that the committee was planning to issue a report by the end of April, or possibly at the May MCCMC meeting. He said the report would include a compilation of each city or participating district's current pension benefits, as well as post-retirement benefit projections. He said the group was also compiling a "tool kit" with various options that could be used by cities to move forward to address the issue of funding shortfalls. O'Donnell said that some questioned the actuarial assumptions put forward by Ca1PERS. He said the committee sought to have each town and city enter into an agreement with the Bartel Group to do an independent actuarial report that would go three to four years further into the future than the CalPERS' projections. He said that the cost of the study was estimated to be $3,000 per city/agency, and that the Bartel Group would make an actual presentation of its findings to each city/agency. O'Donnell said that report would be an additional tool in the toolkit for use by cities and their staffs for budget projections. Council was not asked to take any action on the funding of the report at this meeting. Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 9 TOWN MANAGER'S REPORT Town Manager Curran discussed the possibility of scheduling a special meeting regarding the Lyford Parking project that would be more timely than waiting until the next regular meeting on April 6 (due to the cancellation of the March 16 meeting). She said that if the special meeting were held on March 9, a Planning Commission meeting night, the Planning Commission would meet in the upstairs Community Room. WEEKLY DIGESTS Town Council Weekly Digest - February 18, 2011 Town Council Weekly Digest - February 25, 2011 ADJOURNMENT There being no further business before the Town Council of the Town of Tiburon, Mayor Slavitz adjourned the meeting at 8:55 p.m., to a meeting of the Tiburon Redevelopment Agency (see separate minutes). JEFF SLAVITZ, MAYOR ATTEST: DIANE CRANE IACOPI, TOWN CLERK Town Council Minutes #xx -2011 xxxxxxx, 2011 Page 10 TOWN COUNCIL MINUTES CALL TO ORDER Mayor Sla=March cial meeting of the Tiburon Town Council to order at 7:30 p.m. on Wednesda 11 the Town Council Chambers, 1505 Tiburon Boulevard, Tiburon, California. ROLL CALL PRESENT: COUNCILMEMBERS: PRESENT: EX OFFICIO: ORAL COMMUNICATIONS: None CONSENT CALENDAR Collins, Fraser, Fredericks, O'Donnell, Slavitz Town Manager Curran, Town Attorney Danforth, Director of Administrative Services Bigall, Director of Community Development Anderson, Director of Public Works/Town Engineer Nguyen, Minutes Clerk Levison 1. Restroom Facilities at Blackie's Pasture - Accept project as complete and authorize filing of Notice of Completion (Director of Public Works/Town Engineer Nguyen) Vice Mayor Fraser acknowledged the hard work of the Public Works Department in putting together such a great project on behalf of the community. Mayor Slavitz echoed his comments. MOTION: To approve Consent Calendar Item No. 1, as written. Moved: Fredericks, seconded by Collins. Vote: AYES: Unanimous ACTION ITEMS 1. 600 Ned's Way Recreation Facility - Discussion of project and consideration of authorization to bid project construction (Town Manager Curran & Director of Public Works/Town Engineer Nguyen) Town Manager Curran gave the report. She discussed the current project, which envisions a 4,800 square foot facility with space for Belvedere Tiburon Joint Recreation Committee (BTJR) _ offices, three classrooms, and parking for 22 cars. A trail leading from the Reed Elementary School would also cut through from Kleinert Way. She said that as the project vision has evolved over the initial concept, so has the cost. The more refined project estimate of $1.675 million is DRAFT Town Council Minutes #06-2011 March 9, 2011 Page I f~ significantly steeper than the $250,0004300,000 originally thought, primarily due to challenges associated with the site itself. On the other hand, Curran, "said the Town has little other land to press into this or any other productive use, and these costs are incumbent to using this land. Ms. Curran discussed funding, stating that only $250,000 is currently appropriated for the project, although this money was to have come from sources that did not materialize. It was originally believed that the City of Belvedere would provide an up-front capital contribution, but it will instead provide $30,000 per year with a capped CPI adjustment for so long as the facility is used for BUR purposes. Additionally, the Town would realize modest savings from elimination of the storage container at Town Hall and currently held parking passes, for an initial annual net benefit of roughly $33,000. Ms. Curran stated that because site work is a critical component of any use of this site, staff has looked carefully at alternatives to shrink the building. She stated that doing so does little to alter the cost and amount of site work needed, but potentially decreases the amount of utility in a very significant way. Staff recommends putting the project out to bid, with an array of possible alternatives and anticipated the project would return at the Council's June 1, 2011 meeting for consideration regarding the award of bid. She said the Council should be mindful of the notion that it will have to determine at that time whether to select from among the submitted bids, modify the project further, or eliminate the project altogether. Councilmember Fredericks requested more information on the project alternatives. Following the Town Manager's explanation of bid scenarios, she asked if the project could be reduced in a way that would concurrently reduce the amount of site preparation needed. Specifically, she said trimming the project to meet only the needs of the afterschool program would reduce the square footage and number of parking spaces required, which might also reduce the level of site work needed. Public Works Director Nguyen said this is possible, although not in a way that would support the programmatic activities that were envisioned for the site and factored into the CEQA document. He said the bids would not include such a scenario, but the Council could decide at that time to reject all bids and return to the drawing board to tweak the overall program further. He noted the smaller project involving only replacement of the lost space the BTJR currently occupies was never fully engineered. While a considerable amount of the information learned thus far could be used to that end, he estimated another $20,000 to engineer the project for bidding purposes. He estimated that reducing the project scope in that way would reduce costs 25% to 30%. Ms. Curran said the general feeling of staff and the subcommittee was that the site should be used to the greatest possible advantage, given the costs associated with its preparation. The advantage envisioned by staff, and heretofore the Council, is the opportunity to transcend the afterschool program and provide BUR offices, community space, and a de facto expansion of Town Hall as part of the complex. The funds spent to date, while not geared towards a less encompassing project, have proffered considerably more information than was previously _ available. And, should the Council wish to scale back to a much smaller project, they would be well ahead of square one with respect to site engineering. DRAFT Town Council Minutes #06-2011 March 9, 2011 Page 2 Council and staff discussed costs incurred to date. Councilmember O'Donnell noted the project's ad hoc committee was provided with more detailed cost assumptions prepared by both the cost estimator and civil engineer that were not made available to the Council. He also noted the cost estimates include contingency funds, which is not necessarily reflected in the staff report. Council and staff discussed the bid alternates further. Councilmember Fredericks asked staff to consider an additional alternative that delays the installation of infrastructure for uses that do not serve the primary and immediate objective. Councilmember O'Donnell said the ad hoc committee discussed this and its findings are incorporated into the proposed project. Vice Mayor Fraser concurred that reducing the footprint in any significant way would be a considerable challenge. He asked staff how else they would look to reduce costs in a significant way, for example, by approximately $100,000. The Public Works Director said staff had considered several options, none of which produced savings on that level, and would continue to look for opportunities. To Councilmember Frederick's suggestions, he said they would sit down with the BUR to identify any possible potential for streamlining current programs in a way that would facilitate reducing the site's footprint in a meaningful way. Public Comment: Miles Berger, architect, said the proposed building costs only $115 per square foot even at its highest estimate, whereas to add the same amount of space to Town Hall would cost $600 per square foot. He said the greatest cost is in site preparation no matter the building size, and the low cost per square foot makes this a very valuable and equitable project for the entire community. He estimated that even if cutting the project by 50% were to reduce the number of parking spaces and site preparation needed, it would cost $20,000 to re-engineer and save only $40,000. Mr. Berger said the bid specifications contain a series of alternates that define performance parameters, but allows bidders to put forth the most competitive options they can without decreasing the utility of the building. Berger said the alternates relate to everything from interior finishing to HVAC systems. The Council asked questions relating to the useful life, seismic safety, and foundation construction of prefabricated buildings. Mr. Berger stated that the useful life is technically 25 years, although experience has shown that to be much longer. He said prefabricated structures meet the same seismic and safety standards as any other building. Regarding the foundation, Berger explained that the bid document would specify the eventual soil condition, which bidders could then evaluate and decide what would be the most efficient footing. Councilmember Fredericks asked why the Town was not better prepared to identify the difficulties associated with developing this site. Public Works Director Nguyen said staff was aware of the general limitations of the site, but full engineering was necessary to flesh out _ exactly what preparation would be needed to take on the project. He noted the site is actually no more complex than perhaps any other virgin "hilly" site located in Town. Mr. Berger concurred. DRAFT Town Council Minutes #06-2011 March 9, 2011 Page 3 I/ Councilmember Collins referred to the staff report and suggested cost per square foot numbers that are very different than those stated by Mr. Berger: Mr. Berger clarified that his quote includes the foundation, but not site preparation. He noted that Councilmember Collins' estimates include the parking lot, which is not typical. Mayor Slavitz asked if any consideration was given to solar panel installation. Mr. Berger said the performance specifications still contain a small allocation for roof runners that would allow installation of panels at a later date, but anything more than that is not in the budget. Mayor Slavitz closed the public comment period. Councilmember O'Donnell said he is a great proponent of the project. Even at the high estimate of $1.6 million, he thinks the Town will have created a tremendous asset for itself. He said he views this project in concert with the library expansion as a "generational" opportunity to create a true community center that will allow the Town to do more for its youth and senior population. Councilmember Collins concurred. He stated that while the project is important to the Town for a variety of reasons, the question of affordability still remains. He said he would support moving forward with the project bid, which the Council could then consider in relation to the Town's finances. Councilmember Fredericks cited similar concerns. She said she would like 1) reassurances that this would not diminish the Town's emergency unallocated reserves to less than 25% of the operating budget, 2) information on replenishing the allocated reserves that would finance the project, and 3) to know how this changes the priority of other allocated reserves. She said the proposed project is extraordinarily attractive and incredibly functional and should be put out to bid, although she continued to have serious concerns with the increased cost estimates. Town Manager Curran reiterated that staff proposes returning to the Council June 1, 2011, during the budget process, which will allow consideration of the project in that context. Vice Mayor Fraser echoed the comments of Councilmembers Collins and O'Donnell. He said he views this as a strategic decision for the Town; he stated that Tiburon has not built many structures for the community in the past, yet the influx of families continues to increase. He said the BUR is an excellent and self-funded community asset which he has every confidence in and will be able to expand its programs in a way that makes great sense for the community. He echoed concerns relating to cost and said he would like to see staff continue to identify savings opportunities, but that ultimately, any money invested in children is money well spent. Mayor Slavitz concurred with all the above comments. Slavitz said that he appreciated the vision expressed by the Vice Mayor, and that he also supported Councilmember Fredericks' request to look at a smaller project so that the Council, as a public agency, can say it considered all responsible options. DRAFT Town Council Minutes #06-2011 March 9, 2011 Page 4 J The Council deliberated further, primarily on whether to bid the project as is or with a re- engineered smaller project alternative. The Council ultimately concluded to proceed with bidding the project, as currently stated. MOTION: To authorize staff to conclude development of the bid package and bid the project. Moved: O'Donnell, seconded by Fraser. Vote: AYES: Unanimous Town Manager Curran thanked everyone involved in the project for their hard work. She said that while cost estimates are significantly higher than anticipated, staff would not have come forward with an unfeasible project. Curran said that staff will propose delaying the Lyford project until the Ned's Way project is completed, but she added that she thinks the Council will ultimately be comfortable with building both projects and still maintaining appropriate reserve fund balances. ADJOURNMENT There being no further business before the Town Council of the Town of Tiburon, Mayor Slavitz adjourned the meeting at 8:47 p.m. JEFF SLAVITZ, MAYOR ATTEST: DIANE CRANE IACOPI, TOWN CLERK DRAFT Town Council Minutes #06-2011 March 9, 2011 Page 5 TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 To: Mayor and Members of the Town Council From: Administrative Services Department Subject: Investment Summary - February 2011 Reviewed By: daj__~ To`vn Council Meeting April 6, 2011 Agenda Item: CC- BACKGROUND Pursuant to Government Code Section 53601, staff is required to provide the Town Council with a report regarding the Town's investment activities for the period ended February 28, 2011. ANALYSIS Agency Investment Amount Interest Rate Maturity Town of Tiburon Local Agency $17,5699306.18 0.512% Liquid Fund (LAIF) CDARS (Bank $ 2,021,766.13 0.40% April 21, 2011 of Marin) Housing note to $ 8009000.00 0.513% Based on Town Manager Contract Money Market $ 2509000.00 0.50% Liquid (Bank of Marin) TRAN (Town of $ 500,000.00 4.00 % April 23, 2011 Fairfax) Note to Former $ 339003.84 5.55% June 1, 2017 Town Employee Total $21,1749076.15 Redevelopment Agency Local Agency $19145„587,46 0.512% Liquid Investment Fund (LAIF) FINANCIAL IMPACT No financial impact occurs by adopting the report. The Town continues to meet the priority principles of investing - safety, liquidity and yield in this respective order. RECOMMENDATION Staff recommends that the Town Council: Move to accept the February 2011 investment summary Prepared By: Heidi Bigall, Director of Administrative Services To: From: Subject: Reviewed By: TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Mayor and Members of the Town Council Town Attorney 1 Town Council Meeting April 6, 2011 Agenda Item: Amendment to Chapter 7A of Title II of the Tiburon Municipal Code to Increase TTBID Assessments (Ordinance - Second Reading and Adoption) J 0 ~Pl BACKGROUND AND ANALYSIS The proposed ordinance would amend Chapter 7A to the Town's Municipal Code, to increase TTBID assessments from 1% to 2% of gross revenues. The amendment also clarifies that the Town will only use the assessments for the benefit of the entities assessed, i.e., lodging establishments. The Town's two lodging business both support the District. On March 2, 2011, the Council held its first hearing on the ordinance, found no majority protest, introduced the ordinance and unanimously passed its first reading. PROCEDURE This is a consent calendar item. The Council's motion to adopt this item on the consent calendar will constitute a motion to confirm the waiver of second reading from the previous meeting and adopt the ordinance. Each Councilmember's vote on the motion to approve this item on the consent calendar will constitute the equivalent of a roll call vote and will be recorded within the ordinance. Should any Councilmember choose to vote differently on this item than other items on the consent calendar, then the vote on this item should be taken separately from other items appearing on the Consent Calendar such that individual votes may be properly recorded. Should the Council wish to discuss the item, it must be removed from the Consent Calendar and voted upon separately. RECOMMENDATION Staff recommends that the Town Council approve final adoption of Ordinance No. 525 N. S., a draft of which is attached as Exhibit B, as part of the Consent Calendar. ,A1)il ,'x).11. EXHIBITS A. Staff Report of March 2, 2011 (without Exhibits) B. Draft Ordinance Amending The Tiburon Tourism Business Improvement District (TTBID) Prepared by: Ann R. Danforth To: From: Subject: Reviewed By: BACKGROUND TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Mayor and Members of the Town Council Town Manager and Town Attorney Town Council Meeting March 2, 2011 Agenda Item: t ►f -I Recommendation to Pass First Reading of the Tiburon Tourism Business Improvement District Ordinance On January 19, 2011, the Town Council adopted Resolution No. 03-2011, declaring its intention to modify the Tiburon Tourism Business Improvement District ("TTBID"). The amendment would increase TTBID assessments from 1% to 2% of gross revenues by amending Chapter 7A of the Tiburon Municipal Code. The Town would use the increased revenue to expand the existing program to promote tour visits to the Town, thereby increasing the business opportunities for the businesses that pay the assessments, the Town's hotels. Both existing hotels, the Lodge at Tiburon and the Water's Edge Hotel (collectively, Hotels"), have voiced their support for the increased assessments. After the January 19th meeting, the Town sent a copy of the Resolution of Intention to all record owners of the Hotels, with a written notice of the Town Council's pending public informational meeting and public hearing on the proposed amendment. The notice also advised the property owners that (1) the Town would abandon the assessment process if they received written petitions by owners that would pay 50 percent or more of the annual assessments levied; and (2) they could make a protest against the assessment by mail to the Town Council, care of the Town Clerk. No one spoke at the Council's February 16th informational meeting on the TTIBD. As of the date of this writing the Town has not received any written protests or other opposition to the TTBID assessments. Assuming that the Town does not receive adequate protests by the close of the public hearing on the ordinance, the Town Council may pass first reading of the TTBID ordinance. If the Council elects to proceed with forming the TTBID, the ordinance will return for second reading and adoption on April 6, 2011. RECOMMENDATION Staff recommends that the Town Council conduct a public hearing on the TTBID and the proposed new ordinance. 1. At the close of the public hearing, the Town Clerk should report on the number of written protests received, if any. 2. If the Town Clerk has received written protests by owners that will pay 50 percent or more of the annual assessments, the Council should terminate the TTBID process and take no further action. 3. If the Town Clerk has not received written protests by owners that will pay 50 percent or more of the annual assessments, the Council should consider whether it wishes to proceed with forming the TTBID. 4. If it finds in the affirmative, the Council should by motion, read the ordinance by title only; and pass first reading of the ordinance by roll call vote. EXHIBITS A. Staff Report of January 19, 2011 (without Exhibits) B. Resolution of Intention, Resolution No. 03-2011 C. Draft Ordinance Amending The Tiburon Tourism Business Improvement District (TTBID) Prepared by: Ann R. Danforth ORDINANCE NO. 525 N.S. J AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF TIBURON AMENDING THE TIBURON TOURISM BUSINESS IMPROVEMENT DISTRICT (TTBID)IN THE TOWN OF TIBURON WHEREAS, on September 5, 2007, the Town Council of the Town of Tiburon adopted Ordinance No. 498 N.S. (the "Ordinance") entitled "An Ordinance of the Town Council of the Town of Tiburon Establishing the Tiburon Tourism business Improvement District (TTBID) in the Town of Tiburon," thereby forming a Parking and Business Improvement Area known as the Tiburon Tourism Business Improvement District (TTBID) to levy a benefit assessment on lodging establishments with the TTBID ("Beneficiaries"); and WHEREAS, on January 1, 2008, the Town entered into a contract with the Marin Convention Visitors Bureau ("MCVB"), wherein, among other things, the Town agreed to collect the assessments from lodging establishments within the TTBID, disburse the proceeds to the MCVB and authorize supplemental assessments and/or adjusted assessments and MCVB agreed to provide, manage and administer projects and programs designed to improve business opportunities for the Beneficiaries by promoting tourism ("TTBID Services"); and WHEREAS, the Beneficiaries and the MCVB have asked the Town to modify the Ordinance to increase the TTBID assessments from one percent (1%) to two percent (2%), the increase assessments to be used to enable the MCVB to expand the TTBID Services; and WHEREAS, on January 19, 2011, the Town Council adopted Resolution No. 03-2011, entitled A Resolution of the Tiburon Town Council Declaring its Intention to Modify the Tiburon Tourism Business Improvement District (TTBID), Fixing the Time and Place of a Public Meeting and a Public Hearing and Giving Notice Thereof, to modify the Ordinance as set forth here, which Resolution has been duly mailed and published as required by Section 36523 of the California Streets and Highways Code; and WHEREAS, as specified in Resolution No. 03-2011, the Town Council held a public meeting on February 16, 2011, to hear testimony regarding the proposed amendment to the Ordinance, during which meeting, no one spoke in opposition to the proposal; and WHEREAS, on March 2, 2011, as specified in Resolution No. 03-2011, the Tiburon Town Council held a public hearing concerning the formation of the district on March 2, 2011 at 7:30 p.m., in the Council Chambers at 1505 Tiburon Boulevard, Tiburon, California; and WHEREAS, at the hearing, the Council considered and duly overruled and denied all protests, both written and oral, made or filed, and determined that there was no majority protest within the meaning of Section 36523 of the Law; and WHEREAS, the Town has not received protests in writing from businesses in the proposed TTBID paying fifty percent or more of the proposed assessment; and Page 1 of 4 WHEREAS, the Council finds that only businesses that benefit from tourist visits will be assessed and that the lodging establishments within the TTBID will benefit by the expenditure of the funds raised and the assessment levied hereby, in the manner prescribed herein; and WHEREAS, the levy of assessment on the lodging establishments will fund the TTBID Services for the special benefit of lodging establishments in the district. The revenue from the levy of assessments shall not be used to provide programs outside the district or for any purpose other than the purposes specified herein and in the Resolution of Intention; and WHEREAS, the assessments levied on businesses pursuant to this Ordinance shall, to the maximum extent feasible, be levied on the basis of the estimated benefit to the businesses within the TTBID. NOW THEREFORE, THE COUNCIL OF THE TOWN OF TIBURON HEREBY ORDAINS AS FOLLOWS: SECTION 1. Chapter 7A of Title II of the Tiburon Municipal Code is hereby amended to read as follows: Section 7A-1 Purpose. The purpose of this chapter is to establish the Tiburon Tourism Business Improvement District. Section 7A -2 Establishment of the District. Pursuant to the Act, a business improvement district area is designated as the "Tiburon Tourism Business Improvement District" (TTBID) is hereby created and established. The TTBID's boundaries shall be the Town's incorporated limits. Section 7A -3 Amendments. All lodging establishments within the boundaries of the district established by this Ordinance shall be subject to any amendments of the Parking and Business Improvement Area Law of 1989, codified as California Streets and Highways Code Sections 36500 through 35551, inclusive. Section 7A -4 Assessment. The assessment is proposed to be levied on all lodging establishments, existing and future, within the TTBID based upon 2% of gross room rental revenue. The TTBID projected annual assessment revenues in year one total approximately $80,000. An assessment based on percentage will result in revenues that rise and fall in reflection of greater and lesser business in an overall up or down tourism market and world economy. Section 7A-5 Protests of Formation. All protests, both written and oral, are overruled and denied and the Town Council finds that there is not a majority protest within the meaning of Section 36523 of the Act. Section 7A-6 Annual Review of Assessments. All of the assessments imposed pursuant to this Ordinance shall be reviewed by the Council annually, based upon the annual reports prepared by the Advisory Board appointed pursuant to Sections 36530 and 36533 of the California Streets and Highways Code. Section 7A-7 Use of Assessments. No portion of the revenues from the assessments within the district shall be used to provide improvements outside of the district for any purpose other than Page 2 of 4 for the purposes of the expenses, services, activities and programs specified in the Resolution of Intention to form the district, or as modified by the Town Council pursuant to compliance with Sections 36534 and 36535 of the California Streets and Highways Code. Expenses services, activities and programs paid for with the 1 % increase approved in April of 2011 shall provide a direct and specific benefit to the payors that is not provided to those not charged. The direct and specific benefit to payors will be increase sales of room nights provided through programs designed to directly benefit payors. To generate additional room night sales, payors will be featured on TTBID-funded websites and mobile applications, provided sales leads by TTBID funded FAM tours sales missions, featured in TTBID-funded collateral materials, including brochures and featured in other TTBID-funded programs specifically designed to increase room night sales. Those not charged shall not be included in any of these activities nor shall they receive the benefit of additional room nights. Notwithstanding the foregoing, the Town may retain up to 1% of the annual revenues from the assessments to recoup the Town's administrative costs. Section 7A -8 Imposition of Assessment. The assessment imposed by this Ordinance is levied upon the lodging establishments within the district, and the operator of each lodging establishment shall be solely responsible for paying all assessments when due. Notwithstanding the foregoing, in the event that the operator of a lodging establishment elects to pass on some or all of the assessment to customers of the lodging establishment, the operator of the establishment shall separately identify or itemize the assessment on any document provided to a customer. Assessments levied on the operators of lodging establishments pursuant to this Ordinance and passed on to customers are not part of a lodging establishment's gross receipts or gross revenues for any purpose, including the calculation of sales or use tax, transient occupancy tax, or income pursuant to any lease. However, assessments that are passed on to customers shall be included in gross receipts for purposes of income and franchise taxes. SECTION 2 SEVERABILITY. If any section, subsection, sentence, clause or phrase of this chapter is for any reason held by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remaining portions of this chapter. The Town Council declares that it would have passed this chapter and each section, subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more section, sentences, clauses or phrases be declared invalid. SECTION 3 EFFECTIVE DATE. This Ordinance shall take effect and be in force thirty days after the date of passage. At least five days prior to its adoption and within fifteen days after its adoption, a summary of this Ordinance, the latter summary to include the names of those Town Council members voting for and against the Ordinance, shall be published once in a newspaper of general circulation printed and published in the County of Marin and circulated in the Town of Tiburon. At the time of the publication of each summary, the Town shall post in the Office of the Town Clerk a copy of the full text of this Ordinance in compliance with Government Code Section 39633(c)(1). Page 3 of 4 THE FOREGOING ORDINANCE was introduced at-a regular meeting of the Tiburon Town Council on the 2nd day of March, 2011, and was adopted at a regular meeting of the Tiburon Town Council on the April 6, 2011, by the following vote: AYES : COUNCILMEMBERS : NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: JEFF SLAVITZ, MAYOR TOWN OF TIBURON ATTEST: DIANE CRANE IACOPI, TOWN CLERK Page 4 of 4 TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 To: From: Subject: Reviewed By: BACKGROUND Mayor and Members of the Town Council Administrative Services Department 1 Town Council Meeting April 6, 2011 Agenda Item: CL - Recommendation to Accept and File the FY 2009/10 Basic Financial Statements and Independent Auditor's. Report The Town's independent auditor, Marcello & Company Certified Public Accounts, conducted the annual audit of the Town's financial statements for the fiscal year ended June 30, 2010. The audit was performed in accordance with generally accepted auditing standards. These standards require that they plan and perform the audit to obtain reasonable assurance as to whether the financial statements are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by managements; and evaluating the overall financial statement presentation. ANALYSIS Attached are the audited financial statements for the Town of Tiburon for the fiscal year ended June 30, 2010. The Town's Basic Financial Statements provide a comprehensive presentation of the financial results of the Town as a whole. The results of the Town's financial activities are presented in the Government-Wide State of Net Assets (pages 12). Net assets are a good indicator of the Town's financial position. The Town ended FY 2010 with approximately $53.2 million in net assets, an increase of $110,000 over the previous fiscal year. The Government- wide Statement of Activities (page 13) is the equivalent to the private sector Income Statement. This statement provides detailed accounting of the Town increase in net assets. Supplementary explanatory information is provided with the Management's Discussion and Analysis (MD&A) beginning on page 3. The MD&A provides key highlights and a summary view of performance of financial activities for the year ended June 30, 2010. The auditors have issued a report that includes required communications concerning their responsibility under generally accepted accounting standards, significant changes in accounting policies and unusual transactions, management judgments and accounting estimates, significant audit adjustments, and other issues related to performance of the audit. In the area of accounting practices and internal controls, there are no findings as to material weaknesses. TOWN OF TIBURON PAGE 1 OF 2 ~i FINANCIAL IMPACT There is no fiscal impact to the Town by having the Councit accept this financial audit report. RECOMMENDATION Staff recommends that the Town Council: Move to accept the Fiscal Year 2009-10 annual financial audit as prepared by Marcello & Company, C.P.A.'s. Exhibits: Report and General Purpose Financial Statements of the Town of Tiburon for Fiscal Year ended June 30, 2010 Prepared By: Heidi Bigall, Director of Administrative Services TOWN OF TIBURON California Annual Financial Report June 30, 2010 Town Council Richard Collins Mayor Jeff Slavitz Vice Mayor Alice Fredericks Member Jim Fraser Member Emmett O'Donnell Member Appointed Officials Town Manager Margaret Curran Town Treasurer William Osher Town Attorney Ann R. Danforth TABLE OF CONTENTS INDEPENDENT AUDITOR'S REPORT 2 MANAGEMENT'S DISCUSSION AND ANALYSIS Required Supplementary Information, as prepared by management 3-11 GOVERNMENT-WIDE FINANCIAL STATEMENTS Statement of Net Assets 12 Statement of Activities 13 FUND FINANCIAL STATEMENTS Balance Sheet - Governmental Funds 14 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets 15 Statement of Revenue, Expenditures, and Change in Fund Balances - Governmental Funds 16 Reconciliation of the. Statement of Revenue, Expenditures, and Change in Fund Balances of Governmental Funds to the Statement of Activities 17 Statement of Fiduciary Assets and Liabilities - Agency Funds 18 NOTES TO FINANCIAL STATEMENTS .................................................................................19-34 REQUIRED SUPPLEMENTARY INFORMATION Schedule of Funding Progress - Defined Benefit Pension Plan 35 Note to Required Supplementary Information - Budgetary Comparison Information............ 36 Budgetary Comparison Information 37 OTHER SUPPLEMENTARY INFORMATION Combining Balance Sheets and Combining Statements of Revenue, Expenditures, and Change in Fund Balances 38-43 1 MARCELLO & COMPANY CERTIFIED PUBLIC ACCOUNTANTS 2701 Cottage Way, Suite 30 / Sacramento, California 95825 / 916.979.9079 INDEPENDENT AUDITOR'S REPORT Honorable Mayor Members of the Town Council Town of Tiburon, California We have audited the accompanying financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the Town of Tiburon, California, as of and for the year ended June 30, 2010, which collectively comprise the Town's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the Town's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the Town of Tiburon, as of June 30, 2010, and the respective changes in financial position for the year then ended in conformity with accounting principles generally accepted in the United States of America. The management's discussion and analysis on pages 3 through 11, schedule of funding progress and budgetary comparison information on pages 35 through 37, are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming an opinion on the financial statements that collectively comprise the Town of Tiburon's basic financial statements. The combining and individual nonmajor fund financial statements are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining and individual nonmajor fund financial statements have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. Certified Public Accountants Sacramento, California September 24, 2010 2 Town of Tiburon Management's Discussion and Analysis As management of the Town of Tiburon, we offer readers of these financial statements this narrative overview and analysis of the financial activities of the Town for the fiscal year ended June 30, 2010 (FY 2010). We encourage readers to consider the information presented here in conjunction with the Town's financial statements, which follow this discussion and analysis. OVERVIEW OF THE BASIC FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the Town's basic financial statements, which consist of three components: 1) Government-wide financial statements 2) Fund Financial statements 3) Notes to the basic financial statements This report also contains required and other supplementary information in addition to the basic financial statements. Government-wide Financial Statements The Government-wide Financial Statements consist of the Statement of Net Assets and the Statement of Activities. These statements are designed to provide readers with a broad overview of the Town's finances in a manner similar to a private-sector business. They provide information about the activities of the Town as a whole and present a longer-term view of the Town's finances. The Statement of Net Assets presents information on all of the Town's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the Town is improving or deteriorating. The Statement of Activities presents information showing how the Town's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, some of the revenues and expenses reported in this statement may result in cash flows only in future fiscal periods, such as revenues related to uncollected taxes and interest expense incurred but not paid. Fund Financial Statements A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The Town, like other governmental entities, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Funds of governmental entities are divided into three categories: 1) Governmental Funds 3 Town of Tiburon Management's Discussion and Analysis FINANCIAL HIGHLIGHTS Government-wide Financial Statement Highlights ➢ The Government-wide Statement of Net Assets shows that the Town's assets exceeded liabilities by $53 million (net assets). Of this amount, $16 million was unrestricted net assets and may be used to meet the Town's ongoing obligations to the citizens and creditors of the Town. ➢ The Town's net assets increased by $110,205 over the previous fiscal year (FY 2009). The table on Page 6 of this Management Discussion and Analysis provides year-over-year detail and explanation of the factors attributing to this increase. ➢ The Town's capital assets, net of depreciation, totaled $36.5 million at June 30, 2010, representing 67 percent of the Town's total assets. Net capital assets increased $763,686 from FY 2009. This increase is primarily due to the Town's investment in capital infrastructure projects. ➢ The Town's cash and investments totaled $16 million, representing 29 percent of total assets. This is a decrease of $536,679 over FY 2009. ➢ The Town's long-term debt obligation consists solely of compensated absences and increased by $2,577 during FY 2010 to $471,205. Fund Financial Statement Highlights ➢ The Town's Governmental Fund revenue was $9.1 million compared with expenses of $9.7 million, resulting in a decrease in total fund balance of $650,904, or 3.7 percent. A year-over-year comparison is presented on page 10 of this report. ➢ At the end of FY 20105 the combined fund balance of the General Fund and its Reserves was $10.4 million, a decrease of $403,501 or 3.7 percent. Of this balance, $3.2 million was unreserved and undesignated. The remaining $7.2 million was in designated reserves, some of which are as follows: • $1,370,965- Streets & Drainage Reserve • $23161,383 New Public Works Corporation Yard Reserve • $4479033 Town Infrastructure and Facility Reserve - • $4405484 Park Development Reserve 5 f/ Town of Tiburon Management's Discussion and Analysis General Government Functions: A condensed presentation of the Town's Governmental Activities is presented in the following table: June 30 Revenue Charge for services General revenue Total revenue 2010 2009 Amount Percent Change Change $ 2,311,346 $ 2,826,018 $ (514,672) -18.2% 6,743,637 6,822,192 (78,555) -1.2% 9,054,983 9,648,210 (593,227) -6.1% Expenses General government 3,440,322 4,569,246 (1,128,924) -24.7% Public safety 2,821,652 2,909,982 (88,330) -3.0% Public works 1,094,924 1,419,943 (325,019) -22.9% Capital Improvement Projects 1,587,880 756,257 831,623 110.0% Total expenses 8,944,778 9,655,428 (710,650) -7.4% Change in Net Assets 110,205 (7,218) 117,423 -1626.8% Net Assets - beginning 53,078,592 53,085,810 (7,218) 0.0% Net Assets - end of year $ 53,188,797 $ 53,078,592 $ 110,205 0.2% • Charge for services revenue decreased primarily due to a decline in planning and building related fees. • Investment earning decreased due to interest rate declines. • Total expenses decreased primarily due to the economic slowdown and related reduction in planning and building expenses FINANCIAL ANALYSIS OF THE GENERAL FUND The general fund (no. 101) is the main operating fund of the Town. During FY 2010, the Town received general fund operating revenues of $7,334,969, which represents a decrease of $679,119 over the previous fiscal year. The two-year comparison chart below illustrates the revenue categories by revenue source. 7 Town of Tiburon Management's Discussion and Analysis Two-Year Comparison of General Fund Expenditures June 30 Expenditures General administration Community development Public safety Public works Town council & commissions Non-departmental Capital improvement projects 2010 2009 $ 2,103, 275 $ 1,514,382 973,306 986,329 2,667,493 2,686,470 1,190,724 1,116,413 32,211 30,189 513,055 529,702 10,050 41,146 7,490,114 6,904,631 Excess of Revenue over Amount Percent Change Change $ 588,893 38.9% (13,023) -1.3% (18,977) -0.7% 74,311 6.7% 2,022 6.7% (16,647) -3.1% (31,096) -75.6% 585,483 8.5% (under) Expenditures $ (155,145) $ 1,191,749 $ (1,346,894) -113.0% • Because of the nature of public safety, being a 24/7 operation, it represents 35.6 percent of all general fund expenditures. During the current fiscal year, general administration accounted for 28.1 percent. • As the legal settlement mentioned above is accounted for in the general administration department, if it were removed, this function would account for 21.4 percent of expenses (public safety would increase to 38.9 percent.). The latter percentages are historically consistent with general fund expenditures. Analysis of Governmental Funds The following schedule presents a two-year comparison of the Town's Governmental Funds revenues and expenditures for FY 2009 and 2010 and the amount of increase or decrease. 9 Town of Tiburon Management's Discussion and Analysis The Town continues to have a healthy long-term financial position. The citizens of the Town are fortunate that they are able to enjoy the same level of service they have received during prosperous financial times, and that vital Town infrastructure continues to be maintained and improved. The short-term outlook may present additional financial challenges as the national, state, and local economies begin to recover from a deep and lengthy downturn. Staff continues to closely monitor its revenue sources and expenses. As noted in last year's Management Discussion and Analysis, the next financial issue the Town will face will be increased pension costs beginning in FY 2011-12. These increases are due to significant investment losses experienced by CalPERS in FY 2009. If general fund revenues do not increase at a rate sufficient to cover the increased pension costs, staff will be challenged to bring forward recommendations on how to close the gap during budget hearings. CONTACTING THE TOWN'S FINANICAL MANAGEMENT This financial report is designed to provide the citizens, taxpayers, customers, investors, and creditors of the Town of Tiburon with a general overview of the Town's finances and to demonstrate the Town's accountability for the money it receives. If you have questions about this report or need additional information, contact the Town of Tiburon, Administrative Services Department, 1505 Tiburon Boulevard, Tiburon, CA 94920. As prepared by the Town's Management 11 GOVERNMENT-WIDE FINANCIAL STATEMENTS TOWN OF TIBURON Government-wide Financial Statements Statement of Net Assets June 30, 2010 Total Governmental ASSETS Activities Cash and investments $ 16,170,655 Interest receivable 21,817 Other receivables 213,339 Insurance deposit 86,826 Prepaid expense 31,466 Notes receivable 1,499,223 Capital assets, net 36,518,686 Total Assets 54, 542, 012 LIABILITIES Accounts payable 402,554 Accrued liabilities 318,801 Deposits 160,655 Compensated absences 471,205 Total Liabilities 1,353,215 NET ASSETS Invested in capital assets 36,518,686 Unrestricted 16,670,111 Total Net Assets $ 53,188,797 The accompanying notes are an integral part of these financial statements 12 FUND FINANCIAL STATEMENTS TOWN OF TIBURON Balance Sheet Governmental Funds June 30, 2010 ASSETS Cash and investments Interest receivable Other receivables Insurance deposit Prepaid expense Notes receivable Total Assets LIABILITIES Accounts payable Accrued liabilities Deposits Total Liabilities FUND BALANCES Reserved for: Long term receivables Unreserved, reported in: General fund Special revenue funds Capital projects funds Total Fund Balances Total Liabilities and Fund Balances Other Governmental Funds Total General Special Capital Governmental Fund Revenue Projects Funds $ 10,171, 945 $ 1,832,783 $ 4,165, 981 $ 16,170, 709 - 2,041 19,776 21,817 179,218 34,067 - 213,285 86,826 - - 86,826 31,466 - - 31,466 800,000 663,411 35,812 1,499,223 $ 11,269,455 $ 2,532,302 $ 4,221,569 $ 18,023,326 $ 302,425 318,801 152,430 773,656 $ 47,280 $ 52,849 - 8,225 47,280 61,074 $ 402,554 318,801 160,655 882,010 800,000 663,411 35,812 1,499,223 9,695,799 - - 9,695,799 - 1,821,611 - 1,821,611 - - 4,124,683 4,124,683 10,495,799 2,485,022 4,160,495 17,141,316 $ 11,269,455 $ 2,532,302 $ 4,221,569 $ 18,023,326 The accompanying notes are an integral part of these financial statements 14 TOWN OF TIBURON Statement of Revenue, Expenditures, and Change in Fund Balances Governmental Funds Year Ended June 30, 2010 REVENUE Property taxes Other taxes Franchise fees Fines and forfeitures Investment earnings Intergovernmental and agency Licenses and permits Charges for services Other revenue Total Revenue General Fund Other Governmental Funds Special Capital Revenue Projects Total Governmental Funds $ 4,205,295 $ - $ - $ 4,205,295 970,991 340,725 - 1,311,716 410,133 - - 410,133 96,707 - - 96,707 89,024 14,498 25,385 128,907 329,552 116,544 525 446,621 892,805 - - 892,805 405,355 - 650,045 1,055,400 425,668 - 81,731 507,399 7,825,530 471,767 757,686 9,054,983 EXPENDITURES Current - Town administration 2,122,322 2,500 56,474 2,181,296 Community development 1,066,568 - 214,864 1,281,432 Public safety 2,771,806 125,957 - 2,897,763 Public works 1,192,988 16,102 - 1,209,090 Legislative boards/commissions 32,212 - 3,159 35,371 Non-departmental 513,055 - - 513,055 Capital improvement projects 530,080 749,662 308,138 1,587,880 Total Expenditures 8,229,031 894,221 582,635 9,705,887 Excess (Deficiency) of Revenue Over (Under) Expenditures (403,501) (422,454) OTHER FINANCING SOURCES Operating transfers in 1,305,400 Operating transfers (out) (1,305,400) Total Other Financing Sources - 175,051 (650, 904) 1,305,400 (1,305,400) Change in Fund Balances (403,501) (422,454) 175,051 (650,904) Fund Balances - beginning 10,899,300 2,907,476 3,985,444 17,792,220 Fund Balances - end of year $ 10,495,799 $ 2,485,022 $ 4,160,495 $ 17,141,316 The accompanying notes are an integral part of these financial statements 16 TOWN OF TIBURON Statement of Fiduciary Assets and Liabilities Agency Funds June 30, 2010 Tiburon Public Facilities Del Mar Stewart Lyford Other Peninsula Total Financing Valley Drive Cove Assessment Library Agency Authority A/D A/D A/D Districts JPA Funds ASSETS Cash and investments $ 27,429 $ 3,890,866 $ 79,485 $ 1,123,647 $ 215,571 $ 5,468 $ 5,342,466 Cash held by trustee 194,736 101,561 103,868 137,099 24,427 - 561,691 Receivables: Special assessments - - 1,195,000 - 284,000 - 1,479,000 Other receivables 38 4,079 1,741 7,436 1,622 6,520 21,436 Total Assets $ 222,203 $ 3,996,506 $ 1,380,094 $ 1,268,182 $ 525,620 $ 11,988 $ 7,404,593 LIABILITIES Accounts payable $ - $ - $ - $ 22,063 $ - $ 11,991 $ 34,054 Special assessment commitments - - 1,195,000 11,910 284,000 - 1,490,910 Held in trust 222,203 3,996,506 185,094 1,234,209 241,620 (3) 5,879,629 Total Liabilities $ 222,203 $ 3,996,506 $ 1,380,094 $ 1,268,182 $ 525,620 $ 11,988 $ 7,404,593 The accompanying notes are an integral part of these financial statements 18 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 The notes to the financial statements include a summary of significant accounting policies and other notes considered essential to fully disclose and fairly present the transactions and financial position of the Town as follows: Note 1 - Defining the Financial Reporting Entity Note 2 - Summary of Significant Accounting Policies Note 3 - Stewardship, Compliance and Accountability Note 4 - Cash and Investments Note 5 - Notes Receivable Note 6 - Capital Assets Note 7 - Long Term Obligations Note 8 - Special Assessment District Bond Obligations Note 9 - Interfund Transfers Note 10 - Defined Benefit Pension Plan Note 11 - Postemployment Benefits Other Than Pensions Note 12 - Commitments and Contingencies Note 13 - Risk Management Note 14 - Subsequent Events Note 15 - New Pronouncements 19 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 _ Note 2 - Summary of Significant Accounting Polices The Financial Statement presentation, required by GASB Statements 34, 37, and 38 provides a comprehensive, entity-wide perspective of the Town's assets, liabilities, and replaces the fund-group perspective previously required. The Town now follows the "primary government's governmental activities" reporting requirements of GASB No. 34 that provides a comprehensive one-line look at the Town's financial activities. B. Government-wide and Fund Financial Statements The government-wide financial statement reports information on all of the non-fiduciary activities of the primary government. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include (1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and (2) grants and contributors that are restricted to meeting the operational or capital requirements of a particular function or segment taxes, and other items not properly included among program revenues, are reported instead as general revenues. The accounts of the Town are organized on the basis of funds. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Government resources are allocated to, and accounted for, in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled. In the fund financial statements in this report, the various funds are grouped into six generic funds within three broad fund types. They are as follows: Governmental Funds The General Fund is the general operating fund of the Town. It is used to account for all financial resources except those required to be accounted for in another fund. Fund Accountin Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than special assessments, expendable trusts or major capital projects) that are legally restricted to expenditures for specific purposes. Capital Projects Funds are used to account for revenues and expenditures restricted to the acquisition or construction of major capital facilities (other than those financed by Proprietary or Trust funds). Debt Service Funds are used to account for the accumulation of resources for, and the payment of, governmental fund long-term debt, both principal and interest. 21 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 Note 2 - Summary of Significant Accounting Policies E. Use of Estimates Financial statement preparation in conformity with accounting principles generally accepted in the United States of America requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures/expenses during the reporting period. Actual results could differ from those estimates. F. Receivables and Payables Property, sales, and use taxes related to the current fiscal year are accrued as revenue and accounts receivable and considered available if received within 60 days of year end. Federal and State grants are considered receivable and accrued as revenue when reimbursable costs are incurred under the accrual basis of accounting in the government-wide statement of net assets. The amount recognized as revenue under the modified accrual basis of accounting is limited to the amount that is deemed measurable and available. The Town considers these taxes available if they are received during the period when settlement of prior fiscal year accounts payable and payroll charges normally occur. Grants, entitlements or shared revenues are recorded as receivables and revenues in the General, Special Revenue and Capital Projects Funds when they are received or susceptible to accrual. Balances representing lending/borrowing transactions between funds outstanding at the end of the fiscal year are reported as either "due to/due from other funds" (amounts due within one year), "advances to/from other funds" (non-current portions of interfund lending/borrowing transactions), or "loans to/from other funds" (long-term lending/borrowing transactions as evidenced by loan agreements). Advances and loans to other funds are offset by a fund balance reserve in applicable Governmental Funds to indicate they are not available for appropriation, and are not expendable available financial resources. G. Allowance for Doubtful Accounts Management has elected to record bad debts using the direct write-off method. Accounting principles generally accepted in the United States of America require that the allowance method be used to reflect bad debts. However, the effect of the use of the direct write-off method is not materially different from the results that would have been obtained had the allowance method been followed. H. Property Taxes Property taxes - Article XIII of the California Constitution (Proposition 13) limits ad valorem taxes on real property to one percent of value plus taxes necessary to pay indebtedness approved by voters prior to July 1, 1978. The Article also established the 1975/76 assessed valuation as the base and limits annual increases to the cost of living, not to exceed two percent, for each year thereafter. Property may also be reassessed to full market value after a sale, transfer of ownership, or completion of new construction. The State is prohibited under the Article from imposing new ad valorem, sales, or transaction taxes on real property. Local government may impose special taxes (except on real property) with the approval of 66.67% of the qualified electors. All property taxes are collected and allocated by the County of Marin to the various taxing entities. Property taxes are determined annually as of January 1 and attach as an enforceable lien on real property as of July 1. Taxes are due November 1 and February 1, and are delinquent if not paid by December 10 and April 10, respectively. 23 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 _ Note 3 - Stewardship, Compliance and Accountability The combining balance sheets, and revenue and expenditure statements, are included in the Other Supplementary Information section of this report. Budgetary Information The Town follows these procedures annually in establishing the budgetary data reflected in the financial statements: 1. The Town Manager submits to the Town Council a proposed draft budget for the fiscal year commencing the following July 1. The budget includes proposed expenditures and the means of financing them. 2. The Town Council reviews the proposed budget at special scheduled sessions which are open to the public. The Council also conducts a public hearing on the proposed budget to obtain comments from interested persons. 3. Prior to July 1, the budget is adopted through the passage of a resolution. 4. From the effective date of the budget, which is adopted and controlled at the department level, the amounts stated therein as proposed expenditures become appropriations to the various Town departments. The Town Council may amend the budget by resolution during the fiscal year. The Town Manager may authorize transfers from one object or purpose to another within the same department, and between departments within the General Fund. All appropriations lapse at year end. Economic Dependency In fiscal year 2009-10 the Town received 46% of it total revenue from one source, property taxes. Any reduction in assessed property values or reductions in the Town's property tax share due to the State's budget crisis could have serious consequences to the Town's operating budget. Note 4 - Cash and Investments Cash and investments are classified in the accompanying financial statements as follows: Statement of Net Assets: Cash and investments $ 16,170,709 Statement of Fiduciary Net Assets: Cash and investments 5,342,466 Cash investments with fiscal agent 561.691 Total $ 22,074.866 Cash and investments are comprised of the following: Deposits with financial institutions: • Money market mutual funds $ 250,000 • Checking accounts (12,027) Investment in Local Agency Investment Fund (LAIF) 16,997,873 Investment in US Treasuries 298,604 Investment in Certificates of Deposit (CDARS) 4,540,416 Total $ 22,074,866 25 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 Note 4 - Cash and Investments (concluded) The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The California Government Code and the Town's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for investments. With respect to investments, custodial credit risk generally applies only to direct investments in marketable securities. Custodial credit risk does not apply to a local government's indirect investment in securities through the use of mutual funds or government investment pools (such as LAIF). Note 5 - Notes Receivable Notes receivable consist of the following as of June 30, 2010: Developer (Cecilia Place Senior Housing) $ 663,411 Current Employee 800,000 Former Employee 35,812 $ 1,499,223 Developer (Cecilia Place Senior Housing) At June 30, 2010 the Tiburon Redevelopment Agency (the Agency), a component unit of the Town of Tiburon, owned $663,411 in notes receivable due from Cecilia Place Homes LP, a California limited partnership (the "Developer"). The two notes are secured by a Deed of Trust, bearing annual interest as defined below, and are due on March 31, 2027, as follows: Note Receivable from Developer: note one - bears interest at 3% per annum $ 439,149 note two - interest free 224,262 $ 663,411 In 1997, the Ecumenical Association for Housing completed the Cecilia Place Senior Housing Improvement Project. The Agency's Housing Set-Aside Fund funded a portion of the site and building construction improvements of the project. In addition, the Agency loaned the Developer $339,149 for pre-development and construction costs (the "Original Loan"). The Original Loan bears simple interest at 3% per annum, commencing on March 31, 1997, and is due thirty years after that date. The Agency later modified the Original Loan. In the First Modification to the Development, Disposition and Loan agreement ("DDLA"), the Agency increased the Original Loan amount by $412,373 (the "Supplemental Component"), which increased the principal amount of the loan to $751,522. The Supplemental Component was not intended to bear interest. The Second Amendment to the DDLA amended the interest rate provisions to make $100,000 of the Supplemental Component bear interest at 3%. This amount is recorded as a note receivable in the Tiburon Redevelopment Agency fund. Current Employee In conjunction with the October 2006 employment agreement between the Town of Tiburon and the Town Manager, the Town provided a second mortgage secured by a deed of trust on the Manager's primary residence in the amount of $800,000. The loan is payable in monthly installments of interest only, and bears interest at the LAIF rate, up to a maximum annual rate of 5.5%. The loan shall be fully due and payable when (1) the property for which the loan is made is no longer the employee's primary residence, or (2) within six months of the employee's termination of employment. At June 30, 2010 the principal outstanding on the loan was $800,000. This amount is recorded as a note receivable in the Town's general fund. 27 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 Note 8 - Special Assessment District Bond Obligations (continued) The outstanding balance of Special Assessment Districts' bond obligations at June 30, 2010 was as follows: Tiburon Public Facilities Financing Authority 1996 Refunding Revenue Marks-Roos Bonds Del Mar Valley Utility Underground District 1 Bonds Stewart Drive District 2001 Bonds Lyford Cove Utility Underground District 2005-01 Bonds Lyford Cove Utility Underground District 2005-02 Bonds Lyford Cove Utility Underground District 2005-Supplemental Bonds Note 9 - Interfund Transfers Operating Interfund transfers comprise the following: Fund Employee Compensated Leave New Public Works Facility Other Postemployment Benefits Reserve Self Insurance Reserve Technology Fund Reserve Open Space Management Reserve Streets and Drainage Reserve General Fund No. 101 Capital Outlay Reserve Transfers In Transfers Out $ 100,000 700,000 150,000 50,000 55,400 50,000 200,000 $ 4,601 1,000,000 300,799 $ 1,305,400 $ 1,305,400 Note 10 - Defined Benefit Pension Plan $78,000 $ 3,880,000 $1,195,000 $ 3,470,000 $ 173,415 $1,992,561 Plan Description The Town of Tiburon contributes to the California Public Employees Retirement System (PERS), an agent multiple-employer public employee defined benefit pension plan. PERS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. PERS acts as a common investment and administrative agent for participating public entities within the State of California. Benefit provisions and all other requirements are established by state statute and Town ordinance. Copies of PERS annual financial report may be obtained from their Executive Office, 400 "P" Street, Sacramento, California 95814. Fundinq Status and Progress Non-safety participants are required to contribute 7% of their annual covered salary, while public safety employees are required to contribute 9% of their annual covered salary. The Town made the contributions required of Town employees on their behalf and for their account in FY 2009-10. Starting July 1, 2010 Town employees started making their "employee" share of plan contributions. The Town is required to contribute at an actuarially determined rate. The contribution requirements of plan members and the Town are established and may be amended by PERS. 29 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 , Note 11- Postemployment Benefits Other Than Pensions (OPEB) Plan Description The Town provides retiree medical benefits to employees who retire from the Town at age 50 or later with at least 5 years of service and are eligible for a CalPERS pension. Eligible retirees are entitled to the minimum CalPERS medical benefit, which is $97 per month in year 2008. The amount is expected to increase annually. This benefit continues for the life of the retiree and then for the life of a surviving spouse, as applicable. In addition, retirees with 15 or more years of Town service are eligible to receive a monthly benefit based on the monthly premium charged by CaIPERS for Kaiser Permanente medical insurance at the single person rate, which was $471 in year 2008. The benefit amount increases with years of service, as follows: 15-19 years of service 50% 20-24 years of service 75% 25 or more years of service 100% The amounts are paid directly to retirees, are fixed at retirement, and do not increase in subsequent years. The benefit amount does not decrease at age 65 even though Kaiser premiums may decrease at that age. The benefit continues for the life of the retiree but does not continue to a surviving spouse. Retirees may select any retiree medical plan offered by CaIPERS, including spouse or family coverage, but must incur the cost of the premiums exceeding the above benefits. Funding Policy The Town is currently funding the OPEB plan on a pay-as-you-go basis, and annual contributions of $150,000 for the past two years. Other postemployment benefits paid by the Town for the year totaled $16,594. Annual OPEB Cost and Net OPEB Obligation The Town's annual OPEB cost is calculated based on the annual required contribution (ARC) of the Town, an amount that is actuarially determined in accordance with the parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) of the plan over a period not to exceed thirty years. The current ARC rate is 11.8 percent of annual covered payroll. The following table shows the components of the Town's annual OPEB cost for the year, the amount contributed to the plan, and the changes in the Town's net OPEB obligation as of June 30, 2010. Annual required contribution (ARC) $ 281,675 Interest on beginning OPEB liability - Adjustment to the ARC - Annual OPEB cost $ 281,675 Contributions made (166,594) Increase in net OPEB obligation $ 115,081 Net OPEB obligation - beginning of year 99,228 Net OPEB obligation - end of year $ 214,309 Covered payroll (active plan members) $ 3,700,000 UAAL as a percentage of covered payroll 66% The Town's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB obligation for the fiscal years ended June 30, 2009 and 2010 were as follows: 31 TOWN OF TIBURON Notes to Financial Statements June 30, 2010 Note 12 - Commitments and Contingencies (continued) On November 5, 1996, California voters approved Proposition 218 which limited the ability of the state's local governments to impose, increase, and extend taxes, assessments, and fees. This applies to all taxes, assessments, and fees enacted or increased on or before January 1, 1995. The Town follows the required procedures for proposing new assessments, taxes, and fees into conformity with this law. Note 13 - Risk Management General liability The Town participates in the Association of Bay Area Governments (ABAG Plan), a Joint Exercise of Power Agency. The ABAG Plan provides the Town with coverage for general liability, excess liability, public official bond, property, and crime insurance, with various deductibles. For those liability claims below $50,000 per occurrence, the Town is self-insured. ABAG Plan members may receive rebates when so declared by ABAG, or in the event excess liability claims exceed available resources members may be required to make additional contributions. The Town's contribution to the ABAG Plan for the fiscal year ended June 30, 2010 was $81,808. The ABAG Plan is a self-insured, risk-sharing pool comprised of 31 member local agencies and cities in the San Francisco-Oakland Metropolitan Bay Area. The governing body includes one person from each member Town or town, with an annual election for the executive committee positions. Financial statements may be obtained from ABAG, Post Office Box 2050, Oakland, California 94604. Workers' compensation The Town participates in a joint powers agreement through the Bay Cities Joint Powers Insurance Authority (BCJPIA). The Town currently reports all of its workers' compensation related risk management activities in its General Fund (self-insurance reserve). Claim expenditures and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated. BCJPIA was created as a California Public Agency by an agreement between certain public agencies in the San Francisco Bay Area to provide workers' compensation coverage. BCJPIA is governed by a Board of Directors which is comprised of officials appointed by each member Town or town. The workers' compensation fund is self-insured for the first $150,000 of loss per accident; excess coverage policy is provided by an outside insurance carrier up to statutory limits. The Town has $86,826 on deposit with its risk manager, which provides an 80% confidence level that the Town will have enough reserves set aside to meet its workers compensation self insurance obligations. The Town currently reports all of its risk management activities in its General Fund. Claims expenditures and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated. During the year ended June 30, 2010, the Town paid $104,858 for current year coverage. Financial statements may be obtained from BCJPIA, 1750 Creekside Drive, Suite 200, Sacramento, California 95833. Note 14 - Subsequent Events _ The management of the Town has reviewed the results of operations for the period from its year end June 30, 2010 through October 29, 2010, the date the financial statements were available to be issued, and have determined that no adjustments are necessary to the amounts reported in the accompanying financial statements nor have any subsequent events occurred, the nature of which would require disclosure. 33 . REQUIRED SUPPLEMENTARY INFORMATION (unaudited) TOWN OF TIBURON Schedule of Funding Progress (CaIPERS cost sharing pool) Defined Benefit Pension-Plan Year Ended June 30, 2010 Pooled Report Format Since the Town has less than 100 active members in each plan, it is required by CalPERS to participate in a risk pool. The following actuary valuation reports the activity of the risk pool as a whole, and not the specific activity of individual members such as the Town of Tiburon. Actuarial Valuation Date - Year Ended Miscellaneous Plan - 2% at 55 Risk Pool June 30, 2007 June 30, 2008 June 30, 2009 Accrued Liabilities (AL) Actuarial Value of Assets (AVA) Unfunded Liabilities (UL) Funded Ratio (AVA/AL) Annual Covered Payroll UL As a % of Payroll Safety Plan - 3% at 55 Risk Pool Accrued Liabilities (AL) Actuarial Value of Assets (AVA) Unfunded Liabilities (UL) Funded Ratio (AVA/AL) Annual Covered Payroll UL As a % of Payroll $ 2,611,746,790 $ 2,391,434,447 $ 220, 312, 343 91.6% $ 2,780,280,768 $ 2, 547, 323, 278 $ 232,957,490 91.6% $ 3,104,798,222 $ 2,758,511,101 $ 346,287,121 88.9% $ 665,522,859 33.1% $1,648,159,522 $1,422,143,105 $ 226,016,417 86.3% $ 200,537,256 112.7% $ 688,606,681 33.8% $ 1,755,559,311 $1,517,609,609 $ 237,949,702 86.5% $ 210,590,567 113.0% $ 742,981,488 46.6% $ 1, 802, 882, 330 $ 1,520,081,328 $ 282, 801, 002 84.3% $ 221,600,192 127.6% Note - Details of the defined benefit pension plan can be found in Note 10 of the financial statements. Information for the year ending June 30, 2010 has not been released by the Plan Actuary. 35 TOWN OF TIBURON Budgetary Comparison Information General Fund Year Ended June 30, 2010 Variance with Final Budget Budget Amounts Actual Positive Resources (inflows) Original Final Amounts (Negative) Property taxes $ 3,324,475 $ 3,324,475 $ 4,205,295 $ 880,820 Other taxes 1,070,000 1,070,000 970,991 (99,009) Franchise fees 450,000 450,000 410,133 (39,867) Fines and penalties 175,000 175,000 96,707 (78,293) Investment earnings 182,400 182,400 89,024 (93,376) Intergovernmental and agency 773,800 773,800 329,552 (444,248) Licenses and permits 922,150 922,150 892,805 (29,345) Charges for services 391,600 391,600 405,355 13,755 Other revenue 213,200 213,200 425,668 212,468 Amounts Available for Appropriation 7,502,625 7,502,625 7,825,530 322,905 Charges to Appropriations (Outflow) Town administration 1,612,154 2,272,154 2,122,322 149,832 Community development 1,113,817 1,113,817 1,066,568 47,249 Public safety 2,879,173 2,879,173 2,771,806 107,367 Public works 1,270,416 1,270,416 1,192,988 77,428 Legislative boards and commissions 39,500 39,500 32,212 7,288 Non-departmental 577,989 577,989 513,055 64,934 Capital improvement projects 1,555,000 1,555,000 530,080 1,024,920 Total Charges to Appropriations 9,048,049 9,708,049 8,229,031 1,479,018 Surplus (Deficit) $ (1,545,424) $ (2,205,424) $ (403,501) $ 1,801,923 37 OTHER SUPPLEMENTARY INFORMATION Capital Resv- Disaster Streets & Traffic Capital Total Equip. Technology Park Open Space Response Drainage System Outlay General Replace. Fund Develop Mgmt. Reserve Reserve Reserve Reserve Fund $ 271,232 $ 363,190 $ 499,233 $ 98,222 $ 100,000 $ 1,408,877 $ 450,000 $ 447,033 $ 10,171,945 - - - - - - - - 86,826 - - - - - - - - 179,218 - - - - - - - - 31,467 - - - - - - - - 800,000 $ 271,232 $ 363,190 $ 499,233 $ 98,222 $ 100,000 $ 1,408,877 $ 450,000 $ 447,033 $ 11,269,455 $ 5,908 $ 953 $ 58,749 $ - $ - $ 37,912 $ - $ - $ 302,426 - - - - - - - - 318,801 - - - - - - - - 152,430 5,908 953 58,749 - - 37,912 - - 773,657 800,000 265,324 362,237 440,484 98,222 100,000 1,370,965 450,000 447,033 9,695,799 265,324 362,237 440,484 98,222 100,000 1,370,965 450,000 447,033 10,495,799 $ 271,232 $ 363,190 $ 499,233 $ 98,222 $ 100,000 $ 1,408,877 $ 450,000 $ 447,033 $ 11,269,455 38 Self Capital Resv- Disaster Streets & Traffic Capital Total Insurance Equip. Technology Park Open Space Response Drainage System Outlay General Reserve Replace. Fund Develop Mgmt. Reserve Reserve Reserve Reserve Fund $ $ - $ $ - $ - $ - $ - $ - $ - $ 4,205,295 ' - - - - - - - 970,991 ' - - - - - - - 410,133 " - - - - - - - 96,707 " - - - - - - 89,024 - - - 27,462 - - 235,679 - - 329,552 " - - - - - - 892,805 - - 82,961 - - - - - - 405,355 - 122,200 - - - - 22,257 - - 425,668 - 122,200 82,961 27,462 - - 257,936 - - 7 825 530 , , - - 19,047 - - - - - - 2,122,322 - - 72,952 - - - - - - 1,066,568 - 102,055 2,258 - - - - - - 2,771,806 - - 2,265 - - - - - - 1,192,989 - - - - - - - - 32,211 - - - - - - - - 513,055 - - - 126,839 10,984 - 343,951 - 38,256 530,080 - 102,055 96,522 126,839 10,984 - 343,951 - 38,256 8,229,031 - 20,145 (13,561) (99,377) (10,984) - (86,015) - (38,256) (403,501) 50,000 - 55,400 - 50,000 - 200,000 - - 1,305,400 - - - - - - (4,601) - (300,799) (1,305,400) 50,000 - 55,400 - 50,000 - 195,399 - (300 799) - , 50,000 20,145 41,839 (99,377) 39,016 - 109,384 - (339,055) (403,501) 64,589 245,179 320,398 539,861 59,206 100,000 1,261,581 450,000 786,088 10,899,300 $ 114,589 $ 265,324 $ 362,237 $ 440,484 $ 98,222 $ 100,000 $ 1,370,965 $ 450,000 $ 447,033 $ 10 495 799 , , 39 Total State State Traffic Measure A CA Special Gasoline Congestion Sales Proposition Revenue Tax Relief Tax 1B Funds $ 483,312 $ 24,546 $ 86,077 $ 52,698 $ 1,832,783 - 34 120 74 2,041 23,212 - - - 34,067 - - - - 663,411 $ 506,524 $ 24,580 $ 86,197 $ 52,772 $ 2,532,302 $ - $ - $ - $ 44,780 $ 47,280 44,780 47,280 506,524 24,580 86,197 7,992 2,485,022 506,524 24,580 86,197 7,992 2,485,022 $ 506,524 $ 24,580 $ 86,197 $ 52,772 $ 2,532,302 40 Cypress Hollow 199 16,544 State State Traffic Gasoline Congestion Tax Relief 253,725 - 2,363 659 County Measure A California Sales Tax Prop 1 B $ - $ 87,000 - 444 1,210 Total Special Revenue Funds 340,725 14,498 116,544 16,743 256,088 659 87,444 1,210 471,767 - - - 2,500 - - - - - 125,957 14,402 1,700 - - - 16,102 42,667 205,798 8,973 96,000 396,223 749,661 57,069 207,498 8,973 96,000 396,223 894,220 (40,326) 48,590 (8,314) (8,556) (395,013) (422,453) (40,326) 48,590 (8,314) (8,556) (395,013) (422,453) 70,874 457,935 32,893 94,753 403,005 2,907,476 $ 30,548 $ 506,525 $ 24,579 $ 86,197 $ 7,992 $ 2,485,023 41 Total Downtown Planning Tiburon Storm Circulation Bunch Marsh Street Tiburon Capital Art Area Street Water System Grass Restoration & Frontage Long Range Project Project Mitigation Impact Run Off Improvement Mitigation Maintenance Improvement Planning Funds $ - $ 177,811 $ 1,991,890 $ 214,455 $ 27,914 $ 129,256 $ - $ 2,428 $ 180,726 $ 4,165,981 249 18,434 29 39 181 - 3 39 19,775 - - - - - - - - 35,812 $ - $ 178,060 $ 2,010,324 $ 214,484 $ 27,953 $ 129,437 $ - $ 2,431 $ 180,765 $ 4,221,569 $ - $ - $ - $ 54,599 $ - $ - $ - $ - $ - $ 54,879 - - - - - - (2,030) - - - - - 8,225 - - - 54,599 - - - - - 61,074 - 178,060 2,010,324 159,885 27,953 129,437 - 2,431 180,765 4,160,495 - 178,060 2,010,324 159,885 27,953 129,437 - 2,431 180,765 4,160,495 $ - $ 178,060 $ 2,010,324 $ 214,484 $ 27,953 $ 129,437 $ - $ 2,431 $ 180,765 $ 4,221,569 42 Total Downtown Planning Tiburon Storm Circulation Bunch Marsh Street Tiburon Capital Art Area Street Water System Grass Restoration & Frontage Long Range Project Project Mitigation Impact Run Off Improvement Mitigation Maintenance Improvement Planning Funds - 1,150 8,921 89 182 786 - 15 845 25,385 ' - - - - - - - - 525 - - 560,949 46,587 - - - - 42,509 650,045 ' - - - - - - - 81,731 - 1,150 569,870 46,676 182 786 - 15 43,354 $ 757,686 - - - 2,051 - - 206,664 93,208 2,051 - 206,664 93,208 (2,051) 1,150 363,206 (46,532) 182 786 - - 56,474 13,400 214,864 - - 3,159 - - 308,138 13,400 582,635 15 29,954 175,051 (2,051) 1,150 363,206 (46,532) 182 786 - 15 29,954 175,051 2,051 176,910 1,647,118 206,417 27,771 128,651 - 2,416 150,811 3,985,444 $ - $ 178,060 $ 2,010,324 $ 159,885 $ 27,953 $ 129,437 $ - $ 2,431 $ 180,765 4,160,495 43 TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Town Council Meeting April 6th, 2011 Agenda Item: a~_ To: From: Subject: Reviewed By: BACKGROUND Mayor and Members of the Town Council Department of Public Works Bay Trail Gap Closure Study Grant Award And Authorization For Town Manager To Execute An Agreement For The Grant In the January 2010 meeting of the POST Commission, Bicycle Subcommittee members Peter Winkler and Ralph Leighton updated the Commission on their preliminary work with staff to develop a project studying a gap closure of the Bay Trail from Blackie's Pasture to Blackfield Drive generally following the Greenwood Beach Rd road alignment. Since then, staff had been working with Chairperson Winkler and Mr. Leighton on refining the project scope. Earlier this year, staff learned that a grant opportunity was expiring shortly and submitted a grant application to the Association of Bay Area Government (ABAG), which manages the Bay Trail program, to fund the project study. Staff is happy to report that an $85,000 grant was awarded to the Town on February 14, 2011. The proposed study seeks to evaluate and develop engineering concepts for a Class 1, 2, and/or 3 path that would close an existing gap of the Bay Trail and enhance service of bicycle and pedestrian traffic along this alignment. The alignment would generally parallel Tiburon Blvd. The conceived path would also serve children traveling to and from school and give access to the Richardson Bay Audubon Center (see Exhibit 1). Greenwood Beach Rd/Greenwood Cove Rd is already a designated county bicycle route (see Exhibit 2). The route crosses over Town, County, and State right-of-ways, and would require partnering with these agencies. Community input would be gathered and weighed to develop well-balanced solutions. The grant was discussed in the March 15, 2011 POST Commission meeting and public testimony was gathered. Of the approximately eight people that came to the meeting, some were supportive _ of the study and most were very weary of inviting more pedestrians and cyclists down their street by formalizing a physical path. Many suggested using the shoulder of Tiburon Boulevard as a possible path. Cl~.~~ is f t)t.tl~Cll '~•"~C.'C'[~CI~~~; The Commission was collectively supportive of the study and expressed the need to engage residents near the proposed project alignment as much as possible. They did not agree with some residents who thought pedestrians and cyclists should be discouraged from using the existing route completely. The Commission unanimously felt that this study would be an opportunity to dovetail the creation of a Bay Trail link with improved management of existing multi-modal traffic in the area. Staff has partnered with the County on the project and also foresees significant interaction with Caltrans' staff. The multi jurisdictional complexities of the project and extensive public participation are factors to consider if the project was undertaken. At the moment, project funding only exist for a study, and no funding has been identified past this stage. If the Council were to approve accepting the ABAG grant, staff would plan on starting the project in July 2011 with the establishment of an agency team and POST subcommittee, and preparing a Request For Proposal for engineering/planning consulting support. FISCAL IMPACT As is the common procedure for grants, if the ABAG grant is accepted and the project study approved, the Town will have to commit fiends up front and seek reimbursement against the grant. Town staff resources will also be needed, although the bulk of the work will be conducted by a consultant funded by the grant. RECOMMENDATION Staff recommends that the Town Council: 1. Review the grant opportunity and project issues, and 2. If it approves of the project, move to adopt a resolution approving the project, accepting the grant, and authorizing the Town Manager to execute an agreement with ABAG. Exhibits: Draft Resolution Exhibit 1 - Site Map Exhibit 2 - Map of County Bike Route 10 Prepared By: Nicholas T. Nguyen, Director of Public Works/Town Engineer RESOLUTION NO. -2011 A RESOLUTION OF THE TOWN COUNCIL OF-THE TOWN OF TIBURON APPROVING THE BAY TRAIL GAP CLOSURE STUDY, AND AUTHORIZING THE TOWN MANAGER TO EXECUTE A FUNDING AGREEMENT WITH THE ASSOCIATION OF BAY AREA GOVERNMENTS WHEREAS, The Bicycle Subcommittee of the Parks, Open Space and Trails Commission has done preliminary work with staff to develop a project studying a gap closure of the Bay Trail from Blackie's Pasture to Blackfield Drive generally following the Greenwood Beach Rd road alignment; WHEREAS, Town staff submitted a grant application to the Association of Bay Area Government (ABAG) to fund the study; WHEREAS, ABAG awarded an $85,000 grant to the Town on February 14,2011; and WHEREAS, The grant was discussed in the March 15th, 2011 POST Commission meeting, where public testimony was gathered and the Commission unanimously approved of the study. NOW, THEREFORE, BE IT RESOLVED by the Town Council of the Town of Tiburon as follows: Section 1. The Town Council does hereby approve of the Bay Trail Gap Closure Study. Section 2. The Town Council authorizes the Town Manager to execute an agreement with ABAG to fund the project. PASSED AND ADOPTED at a regular meeting of the Town Council on the 6th day of April, 2011, by the following vote, to wit: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: JEFF SLAVITZ, MAYOR TOWN OF TIBURON ATTEST: DIANE CRANE IACOPI, TOWN CLERK 1/1 :-i t C. Q CL 0 L- 0 L L \I O ^T,, O m 4-0 O U I O F- 4. A [,F f diet; t o > .m. \ ) 14 b Y~. •i ya 1 . Ile 01 14 pit 4 i' f Y f/ • #r Uot F k ~ • !•i 1 4V~ y~~,~ ~ ~1 09 RESOLUTION NO. 14-2011 A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF TIBURON COMMENDING MARILYN KESSLER FOR HER OUTSTANDING SERVICE TO THE COMMUNITY UPON THE OCCASION OF HER RETIREMENT WHEREAS, Marilyn Kessler began her career in journalism as editor of her college newspaper, "The Drury Mirror", at Drury College in Springfield, Missouri; and WHEREAS, Marilyn's travels with her first husband, Jim Olson, took her around the country where she worked on the "ladies' pages" of the "Springfield [Missouri] News & Leader", the "Corpus Christi [Texas] Caller-Times", and the "Birmingham [Michigan] Eccentric"; and WHEREAS, Marilyn and Jim first came to Marin County and settled in Tiburon in 1968, where their daughter, Christine, was born; and WHEREAS, Marilyn was hired as a reporter for The Ark in 1978 by newspaper magnate James McClatchy, who bought The Ark in 1977, and later promoted Marilyn to the position of editor of the newspaper; and WHEREAS, Marilyn Olson became Marilyn Kessler in 1985, when she married Dominic Kessler, and later that same year, Marilyn formed another "perfect union" with the late Barbara Gnoss, who became her co-editor of The Ark until her untimely death in 2009; and WHEREAS, Marilyn and Barbara went on to purchase the newspaper outright and became both editors and publishers of The Ark; and WHEREAS, The Ark is the newspaper on the Tiburon peninsula, and covers "all the news that's fit to print", bringing a unique local flavor and outlook to events on our peninsula; NOW, THEREFORE, BE IT RESOLVED, that the Town Council of the Town of Tiburon commends Marilyn Kessler for her many years of outstanding service to the Tiburon community as editor and publisher of The Ark, and is even more pleased to know that Marilyn will continue to reside in and be a part of our Tiburon community upon the occasion of her retirement; BE IT FURTHER RESOLVED, that the Town Council wishes Marilyn a happy life and great success in all her future endeavors. PASSED AND ADOPTED at a regular meeting of the Tiburon Town Council on April 6, 2011, by the following vote: AYES: COUNCILMEMBERS: Collins, Fraser, Fredericks, O'Donnell, Slavitz ATTE : ) j Diane Crane Iacopi, Town Clerk