Novato City Council Meeting (Oct 22, 2024): Landing Court Apartments Approved, Fiscal Sustainability Update

[The Novato City Council met on Tuesday, October 22, 2024, at 6:00 PM in the City Council Chambers. The meeting began with proclamations honoring Coy Smith (retiring Chamber CEO), Pini Hardware's second location, the Rotary Club of Ignacio's youth financial assistance donation, and Bullying Prevention Month. The council then approved the consent calendar unanimously, held a public hearing on the Landing Court Apartments project, and discussed the Downtown Novato Business Improvement District (BID) annual assessment and fiscal sustainability planning. The meeting concluded with appointments to commissions, committees, and boards. The council adjourned at approximately 10:00 PM.]

Consent Calendar

• Approved G.1 (waive reading of ordinances), G.2 (minutes of September 24, 2024), G.3 (ground lease amendment with Vero West 103 LLC), G.4 (updated City Council Policy Manual), G.5 (Notice of Completion for 2023/2024 Annual Pavement Rehabilitation), and G.6 (plans and bid advertisement for Hoog Park Playground enhancements) – all passed 5-0.

Public Comments & Testimony

• General Public Comment (Measure M): Multiple speakers supported Measure M (a 0.75% local sales tax measure on the November 2024 ballot). Stacy Hogan, Irma Wheatley, John Feld, Mark Schatz, Amy Peel, and Emma Messenberg argued that the measure is essential to address the city's structural deficit, fund infrastructure, retain staff, and maintain services. Mark Schatz also urged support for the measure as a long-term commitment. Bernie Myers opposed, questioning the lack of a sunset clause and the city's spending transparency.
• Landing Court Apartments Public Hearing: Several residents from the surrounding neighborhood (Clausing Avenue, Landing Court) spoke against the project. John Christopher, Jessica Whitehouse, Emily Larson, Ben Oxell, Klaus Larson, and Joe Dorsey raised concerns about height (5 stories, 65 feet), density (302 units on 2.11 acres), lack of on-site parking, pedestrian safety, and the building's impact on shade, garbage odors, and a heritage oak tree. They argued the project does not fit the character of the neighborhood and that the state's AB 2011 law removes local control.
• DNBA/BID Annual Report: No public comments were made.
• Fiscal Sustainability Update: Two city employees (Clark Moretti from Public Works, Janna Blunt, and Paul Perryman) spoke in support of Measure M, emphasizing the strain on staff and infrastructure. They described the risk of further cuts and the need for sustainable funding.

Discussion Items

• Landing Court Apartments (P2023-055): Deputy Director Steve Marshall presented the project: 302 multi-family dwellings (mostly studios and 1-bedrooms, with a few 2-bedroom manager units), 100% affordable housing (including 31 very low-income and 238 low-income units), a density bonus, and four concessions (e.g., reduced setbacks, no on-site parking). The project is located on a 2.11-acre parcel off Landing Court, near the SMART station (within 0.5 mile as the crow flies). The council asked questions about parking, safety, and the developer's intention to redesign the project. The developer, Alexis Gorgon (AMG), indicated they may add a concrete podium for parking and reduce density on other sites. The council discussed the constraints of AB 2011, which limits discretionary review. Councilmembers expressed frustration but acknowledged the need to approve due to legal risks. The project was approved 5-0.
• Downtown Novato Business Improvement District (J2): Executive Director Stephanie Salina presented the DNBA's 2024 annual report and 2025 proposed budget. The BID advisory board reported no changes to assessment rates. The council praised the organization's work, especially the new tree lights. Concerns were raised about board member resignations and budget reserves. The council approved the annual report, budget, and resolution to set a public hearing for November 19, 2024, for the 2025 assessment – all passed 5-0.
• Fiscal Sustainability & Funding Priorities (J1): City Manager Amy Cunningham presented an update on the city's fiscal health, including the structural deficit ($4 million in FY 2024-25), the need to replenish reserves, and deferred infrastructure needs ($55 million). She outlined five priority uses for Measure M revenue if approved: preserve services, replenish reserves, address infrastructure, mitigate liabilities, and invest in innovation. The council discussed the need for a detailed spending plan. Councilmember Eklund expressed that the presentation lacked a concrete plan. Other councilmembers noted that the budget process would provide that plan. No vote was taken; the item was informational.

Key Outcomes

• Consent Calendar: Approved 5-0.
• Landing Court Apartments: Resolution approving the project (AB 2011 objective design review, density bonus, and concessions) passed 5-0 (Councilmember Eklund voting "reluctantly yes"). The project conditions require minor objective standards compliance at the building permit stage.
• Downtown BID: Approved the 2024 DNBA Annual Report and 2025 Proposed BID Budget, and adopted Resolution of Intention to levy the 2025 assessment (public hearing set for November 19, 2024) – all passed 5-0.
• Commissions, Committees, and Boards Appointments: Approved 5-0. For the Economic Development Advisory Commission, the council modified the terms: Alex Tishman, Harry Thomas, and Thomas Young were appointed to two-year terms; Christina Mendez and Bradley Wright to one-year terms. Other appointments included: Complete Streets & Pathways Oversight Committee (5 members), Finance Advisory Commission (Rathalina Maglio), Housing Zoning and Building Code Appeals Board (Luku Lisa Lucese and Timothy Sneed), Marin/Sonoma Vector Control District (Piper Primrose), Multicultural Advisory Commission (one seat pending), and Sustainability Commission (Bob Brown, Pablo Pastor, Cheryl Timoney).
• Adjournment: The meeting was adjourned in memory of Skip Fenner, a longtime community member.