Huntington Beach City Council Meeting – June 16, 2026: Budget, Housing Element, and Zoning Study Session

The Huntington Beach City Council met on June 16, 2026, to adopt the fiscal year 2026-27 budget, approve the long-contested housing element update, discuss zoning administrator responsibilities, and act on several other items including a regional homeless partnership with Newport Beach and a proposal for stair advertising at the pier. The meeting included public comments on budget concerns, housing element compliance, and library donations.

Consent Calendar

• Approved items 12-15 and 19-26 (items 16 and 17 were pulled separately for discussion). Included routine contracts and administrative approvals.

Public Comments & Testimony

• Janet Jacobs (Terry Park neighborhood) thanked council for walkthroughs and requested that the 7600 Redondo Circle property be added to the housing element for low- to medium-density residential (15-20 units/acre), opposing the industrial warehouse proposal. She expressed support for council’s efforts on crime and homelessness.
• Ken Inouye (50-year resident) criticized council for policies violating state law, pointing to litigation costs, housing fines, and the air show settlement. He urged focus on health, safety, and quality of life.
• Russ Neal spoke about the foundational role of biblical faith in preserving American liberties.
• Irene Contreras Garcia (fourth-generation resident) thanked council for visiting the Terry Park community and asked that future development access be on Talbert and Gothard, with noise mitigation.
• Tim Geddes opposed item 27 (stair advertising), calling it a “pimping out” of public assets. He criticized council’s fiscal management and culture-war spending, endorsing opposition candidates.
• Paula Schaefer detailed council’s decisions on the library, including $1.3 million spent on a special election and the refusal of an $825,000 annual donation from Friends of the Library.
• Pat Goodman (budget hearing) warned that using reserves to cover the $15.6 million deficit was a “plug,” not a structural fix, and urged reinstating budget town halls.
• Other speakers addressed adoptable pets, Alzheimer’s services, and personal concerns (e.g., demolition damage).

Discussion Items

1. Fiscal Year 2026-27 Budget Adoption (Public Hearing)

Staff presented a balanced budget: $592.4 million in all funds and $328.3 million in the general fund. Revisions added $1.85 million for the navigation center partnership, street maintenance, batting cages, and other projects, offset partly by Newport Beach revenue. The general fund deficit of $15.6 million would be covered by drawing down reserves. Council debated pension costs (CalPERS increase of $8.8 million), fee schedule updates, and financial policies. Mayor McKeon emphasized private-sector revenue ideas. Councilman Kennedy noted $1.5 million in new revenues from recent initiatives. After public comment, the budget was adopted 6-1 (Councilwoman Vandermark abstained).

2. Housing Element Update (Resolution 2026-2025)

After years of litigation, staff presented the 2021-2029 housing element update with revisions to address HCD comments. The Kennedy Commission representative (Daniel Sasse) opposed, arguing the draft was not substantially compliant, citing $3.5 million in prior legal fees and ongoing fines ($10,000/month retroactive to January 2025, $50,000/month going forward, with potential $100,000/month additional from July 1). Councilman Williams offered a substitute motion to seek judicial clarification on whether Measure U (voter-approved charter provision requiring a vote for general plan amendments with significant environmental impacts) applies, referencing the 2022 EIR that found five significant unavoidable impacts. City attorney Anthony Taylor argued the court had not preempted Measure U and that the resolution’s CEQA findings simply complied with court orders. The substitute motion failed 2-5 (Williams and Gruel in favor; Kennedy, Twining, McKeon, Burns, Vandermark opposed). The original motion to adopt the resolution passed 5-2 (Kennedy, Twining, McKeon, Burns, Vandermark in favor; Gruel and Williams opposed).

3. City Manager’s Report: Independence Day Events

Molly Urem Yermora previewed a three-day celebration (July 3-5, 2026) for America’s 250th birthday, including a carnival, 5K run, parade with the USA Round Canopy Parachuting Team, Main Street block party, a 28-minute fireworks show, and a community bike parade. Estimated attendance of 20,000-25,000 for the bike parade.

4. Study Session: Zoning Administrator Responsibilities

Deputy Director Jill Boss led a discussion on updating zoning code to streamline approvals. Council provided input on specific uses:

• Fences/walls: Elevate conditional use permits (CUPs) to Planning Commission.
• Three-story homes (30-35 feet): Prefer a code update setting a clear height limit (e.g., 35 feet with pitched roof) to eliminate the need for CUPs; otherwise, elevate to Planning Commission.
• Variances: All variances should go to Planning Commission regardless of deviation percentage.
• Alcohol on-site consumption: CUPs for these uses should go to Planning Commission.
• Industrial/commercial within 300 feet of residential: Requires CUP to Planning Commission; if outside 300 feet, administrative site plan review.
• Maintenance and operations buildings: Elevate to Planning Commission. Staff will bring a zoning text amendment to Planning Commission and Council by end of 2026.

5. Consent Calendar Item 16: On-Call Video Production Contracts

Councilwoman Vandermark pulled the item for discussion. Staff clarified that six contracts totaling $150,000/year are for existing services (broadcast, community events, technical support). Funding is from the general fund, not PEG funds (only $4,000 for equipment). Council approved 7-0.

6. Regional Homeless Partnership with Newport Beach (Item 17)

Council approved an MOU allowing Newport Beach to purchase access to 10 beds (7 male, 3 female) at the Huntington Beach Navigation Center, plus funding for a part-time case manager and vehicle, generating up to $530,000 annually. Discharged clients are to be transported back to Newport Beach. Council expressed confidence in the coordination. Approved 7-0.

7. Peer Stairs Advertising (Item 27)

Councilmembers Kennedy and Grohl proposed directing staff to research temporary vinyl wraps on stair risers at the pier. Estimated revenue: $5,000-$7,000 per month, with the city receiving 75%. Local companies Rio Media and Sticky Fingers would handle sales and installation. Councilman Williams voted no, citing liability concerns. Motion passed 6-1.

Key Outcomes

• Budget adopted (6-1, Vandermark abstain).
• Housing element resolution adopted (5-2, Gruel and Williams opposed).
• Directed staff to prepare zoning text amendments based on study session feedback.
• Approved MOU with Newport Beach for navigation center beds (7-0).
• Directed staff to research pier stair advertising feasibility (6-1).
• Consent calendar approved with items 16 and 17 individually passed (7-0).
• Next regular meeting scheduled for July 7, 2026.