Public Meetings - Novato, California

The Novato City Council met on May 14, 2024, to appoint Amy Cunningham as the city's first female city manager, approve the renewal of military equipment use policies, receive a sales tax and budget presentation, and provide direction on the Fiscal Year 2024/2025 operating and capital budgets. The meeting also included ceremonial recognitions and public comments on open space preservation and affordable housing. Consent Calendar - The Council approved the consent calendar (items G.1–G.8) with a 5-0 vote, except item G.6 (investment policy) was pulled for separate discussion. - Approved routine items including: waiving reading of ordinances; approving minutes of April 23 and April 30, 2024; a technology agreement with MaintStar Inc. ($629,600 for a land management system); a second amendment with ClientFirst Technology Consultants ($75,600 for implementation support); a revised investment policy (G.6 pulled); acceptance of work completion for crosswalk enhancements and pavement rehabilitation; and receipt of the Fiscal Year 2021/2022 Measure F report. Ceremonial Matters/Presentations - Proclamation: Public Works Week – The Council proclaimed Public Works Week 2024. - Recognition for Dave Jeffries – The Council posthumously honored Dave Jeffries, a retired Novato police captain and emergency services manager who passed away on April 22, 2024. His partner Laura and mother Shelley were acknowledged. A recognition outlined his 31 years of service and contributions to public safety. - Sales Tax Presentation from HdL – Ken Nordoff of HdL Companies presented an overview of sales and use tax laws, recent revenue results for Novato (sales tax down 1.7% in 2023; Measure C down $55,000), per capita sales comparisons, and implications for a potential new local transaction tax measure. He noted Novato has 0.75% cap space remaining before reaching the 9.25% statewide cap. Council discussed competitive dynamics and the importance of acting before county agencies use the cap space. Public Comments & Testimony - Mark Smith – A Point Marin resident urged the Council to pass a resolution permanently designating Parcel M as open space and to dedicate it as the “Pat Eklund Ignacio Creek Preserve,” opposing a North Marin Water District pump station proposal. He cited Councilmember Eklund’s long service as warranting the naming. - Peter Mendoza – A former Novato resident spoke in memory of Dave Jeffries, praising his character and service. He also requested improvements to affordable housing and an automatic door on the council chambers for ADA compliance. Discussion Items - J.1 – Appointment of Amy Cunningham as City Manager – The Council considered and unanimously adopted a resolution appointing Amy Cunningham as City Manager and authorizing the Mayor to execute an employment agreement (base salary $285,701). Council members praised her dedication, financial acumen, and leadership. This marks the first female city manager in Novato’s history. - J.2 – Military Equipment Use Ordinance Renewal – Police Chief Jim Naugle presented the 2023-2024 Annual Report required by Assembly Bill 481. The report listed equipment in six of fifteen state-defined categories (drones, armored rescue vehicle, specialized firearms, flashbangs, patrol rifles, less lethal launchers, night vision goggles). No complaints were received in 2023; a public meeting by the Police Advisory Review Board was fully supportive. Council unanimously approved the renewal ordinance and annual report. - L.1 – Fiscal Year 2024/2025 Budget Workshop – The Council received a preliminary budget overview showing a $5 million general fund deficit. Staff presented budget options to reduce the deficit, including adjusting OPEB contributions, vacancy savings, long-term maintenance fund transfers, IT equipment funding, and service improvements. The Council provided direction on each line item (see Key Outcomes). After discussion, the updated deficit stood at approximately $4.19 million. The final budget will be brought back for adoption on June 11, 2024. Key Outcomes - Consent Calendar – Approved 5-0 (except G.6 pulled). - J.1 – City Manager Appointment – Motion carried 5-0 to adopt the resolution and execute the employment agreement. - J.2 – Military Equipment Ordinance Renewal – Motion carried 5-0. - Budget Direction (L.1) – Council gave consensus direction on the following: - OPEB: $240,000 (consistent with actuarial recommendation). - Personnel vacancy savings: $450,000 (up from historic $250,000). - Long-term maintenance – Facilities: $144,000 from general fund plus $156,000 from Measure F (total $300,000). - Long-term maintenance – Infrastructure: $300,000. - IT equipment replacement: $95,000. - 501 Davidson loan payment: deferred ($0). - One-time ARPA funds for records management: $50,000 (net zero via transfer). - Street sweeping app: approved 3-2 (cost: $1,550 one-time, $2,950 ongoing). - Community Development Department personnel: $350,000 for a plan check engineer and a planner. - Maintenance service support: $75,000. - Gas tax transfer: $1 million. - Measure A transfer: $300,000 (compromise between $225,000 and $400,000). - Community sponsorship and youth financial assistance: maintained at $50,000 and $10,000 respectively (no change). - Equipment replacement fund contribution: reduced to $700,000 (from $1 million). - School Resource Officer – The Council discussed keeping the position but unfunded; majority favored not adding an unfunded FTE but directed staff to actively seek grants and return quickly if awarded. - Investment Policy (G.6) – Item was pulled and discussed. Council tabled approval to allow further discussion on potentially adjusting the investment strategy to achieve higher returns while remaining conservative. The item will go to the Finance Advisory Commission in June and return to Council at a later date. - Adjournment – The meeting adjourned at approximately 10:30 PM.

The Novato City Council held a regular meeting on Tuesday, May 7, 2024, at 6:00 PM. The meeting included proclamations for National Police Week and Gun Violence Awareness Day, approval of the consent calendar, a presentation and adoption of the FY 2021-2022 Annual Comprehensive Financial Report (ACFR), a public hearing on the adoption of the revised 6th Cycle Housing Element, and a public hearing on the mobilehome rent control ordinance amendment. Councilmember Rachel Farac was absent. Consent Calendar - Approved the consent calendar unanimously (4-0), including: - Ratification of appointments to various commissions and committees. - Resolution authorizing an amendment to Professional Services Agreement with TeamCivX, adding $72,000 for a total not to exceed $131,500. - Received and filed the Q1 2024 Strategic Plan Progress Report. - Received and filed the Q3 FY 2023/24 Investment and Budget Reports. Public Comments & Testimony - General Public Comment: Patrick McNicholas raised concerns about an open fire near open space in the Scottsdale Marsh area, citing fire danger and lack of enforcement despite a recent ordinance against open fires in open space. He provided photos to the Mayor and Council. - Housing Element Public Hearing: Zachary Griggy expressed support for the housing element and provided detailed analysis of census vacancy data, noting that roughly 600 units are classified as vacant, including 100 mobile home units (56 from Marin Valley, 50 from Los Robles), 334 single-family homes, and other units. He found the numbers "head-scratching" and encouraged verification. - Mobilehome Rent Control Public Hearing: Katie Cartwright, HOA President of Los Robles Mobile Home Park, thanked the Council for balanced revisions, praising the 4% cap and enhanced tenant representative role. Steven Rosenfeld, HOA Secretary, requested an explicit statement that all leases are covered, lower filing fees, and clarification on rent increases upon vacancy or sale of homes. Discussion Items - Annual Comprehensive Financial Report (ACFR) for FY 2021/2022: Finance Director Carla Carvalho-Degraff and staff presented the audit results. The city received an unmodified (clean) opinion. Key points included: - Net position increased by $10 million, largely due to ARPA funding and revenue in special revenue funds. - The unassigned general fund balance is $2,178,183. - Staff recommended transferring the unassigned balance to the Emergency and Disaster Reserve Fund, which would bring the reserve to approximately 20% of FY 2023-24 operating expenses. - Audit partner Justin Williams of MUN CPAs highlighted that material weaknesses dropped from 4 to 3, significant deficiencies from 2 to 1, and audit adjustments decreased from 65 in 2020 to 7 in 2022. The next audit (FY 2022-23) is planned for September 2024, with issuance expected by January 2025. - Councilmembers praised staff for the progress and asked detailed questions about findings, GASB 87 implementation, and future staffing needs. - Revised 6th Cycle Housing Element Adoption: Community Development Director Clare Hartman, along with consultants, presented the revised Housing Element (2023-2031). The city previously adopted an element in January 2023 but revised it to address state HCD comments. Key points: - The element includes a regional housing needs allocation of 2,090 units, about 260 units per year, with 42% targeted for very low- and low-income households. - Since adoption, the city has produced 104 units, including 82 in 2023, thanks to projects like Homeward Bound and ADU interest. - The city has already rezoned two sites to meet state deadlines. - Councilmembers asked questions about vacant residential properties, inclusionary housing ordinance, planned development zoning, parking standards, emergency shelter beds, and low-barrier navigation centers. - No other public comments were made; the item received a unanimous motion to adopt. - Mobilehome Rent Control Ordinance Amendment: City Attorney Gary Bell presented proposed changes to Chapter 20 of the Municipal Code. The revisions include: - Capping annual space rent increases to CPI or 4%, whichever is lower. - Clarifying that rent adjustments take effect January 1 following notice. - Permitting park owners to petition for rent increases based on beneficial capital improvements, including those required by government orders. - Clarifying petition formats and content. - Establishing a process for tenants to initiate improvement requests. - Establishing a process for settlement negotiations with cost-shifting if a party rejects a reasonable offer. - Establishing a process for tenant representatives. - Establishing a process for tenants to petition for rent reductions due to service reductions. - Councilmembers discussed the 4% cap origin, vacancy control provisions, and responses to public comments. Due to late hour and staff timeline, the Council directed staff to incorporate additional clarifications (e.g., explicit statement that all leases are covered) and return the ordinance for first reading on June 11, 2024. Key Outcomes - Approved the consent calendar unanimously (4-0). - Received and filed the FY 2021-2022 ACFR and adopted Resolution authorizing transfer of $2,178,183 unassigned general fund balance to the Emergency and Disaster Reserve Fund (4-0). - Adopted Resolution amending the General Plan 2035 to adopt the Revised 6th Cycle Housing Element (4-0). - Directed staff to return with revised mobilehome rent control ordinance incorporating additional clarifications (explicit lease coverage, fee structure, and vacancy/rent increase clarity) for a future meeting (June 11, 2024). Adjournment The meeting adjourned in memory of Will Travis, former executive director of the Bay Conservation and Development Commission, who passed away and was praised for his role in saving San Francisco Bay.

The Planning Commission held a public hearing to consider a resolution recommending that the City Council adopt the Revised Draft 6th Cycle Housing Element (2023‑2031). Staff presented the document’s background, revisions made in response to HCD comments, and an update on housing progress. No public comments were received. After discussion, the Commission voted unanimously to recommend adoption. Discussion Items - Revised 6th Cycle Housing Element – Staff (Claire Bartman, Community Development Director; David Bergman and Ethan Stan from Lisa Wise Consulting) presented the housing element’s purpose, the extensive revisions since the original January 2023 adoption, and the ongoing negotiation with HCD. Key revisions included: more specificity on program timing and implementation, a windshield survey of housing conditions, a new program addressing vacant residential properties, and clarification of emergency shelter provisions (allowing shelters by right in the CG zoning district). Staff noted that adoption of this revised element would protect the city from “builder’s remedy” proposals. Commissioners asked about the reliability of pipeline projects, the city’s role in homeless services, the fiscal impact of affordable housing, and the new vacant-property program. The Commission expressed appreciation for staff’s efforts and the diplomatic work with HCD. Key Outcomes - Vote: The Commission unanimously (6 – 0; Chair Heath absent) approved a motion to recommend that the City Council adopt the Revised Draft 6th Cycle Housing Element. The recommendation includes the attached CEQA addendum finding that the revisions are within the scope of the original environmental review. - Next Steps: The item will go to the City Council for final adoption. Post‑adoption, the city will submit the adopted document to HCD for formal certification. Staff outlined a tentative implementation schedule: an ADU code update (summer 2024), a state‑law compliance package (August 2024), and more complex ordinances (emergency shelters, just‑cause protections, etc.) by the end of 2024.