NEWPORT BEACH CITY COUNCIL WRAP-UP

* ISSUE: A request to transfer 45,000 square feet from Fashion Island to

build a new office building.

* ACTION: Approved, 4-1.

* SUMMARY: The City Council approved the transfer of property from

Fashion Island and the 600 Block at Newport Center to build a two-story

office building. The Planning Commission met on this issue in October and

voted to recommend approval of the transfer of the development rights to

the Irvine Co. Neighbors at the Harbor View Hills community were

concerned about the proposed development. As such, the commission

included a provision to allow the city’s planning director to require the

dimming of lights associated with the project, should the need arise.

Council member Norma Glover was against the move, saying it would

decrease the amount of retail space and, in turn, decrease the city’s

revenue stream.

* ISSUE: Extend the lease agreement with American Legion Post 291 for one

year, beginning in March 2000.

* ACTION: Approved 4-1.

* SUMMARY: The current lease expires on March 2000 and despite the

request for a longer lease, City Manager Homer Bludau asked the Legion to

agree to a one-year extension. He made the recommendation because the

city is still waiting for the state to designate the property as tideland

or upland, which would dictate what the land can be used for. The

property is also at the center of a controversy involving a developer who

wants to build a five-star resort on the site. Sutherland Talla

Hospitality has offered $500,000 to help the post relocate or rebuild.

The post’s history dates back to the 1920s, when veterans from the Santa

Ana post decided to form their own branch in Newport Beach. Eventually,

they purchased a site on 10th Street, but because of road improvements in

the area, they were forced to relocate to their present location.

A lease for the current 15th Street site was initially extended in 1951

and again in 1975.

* ISSUE: Accept the Newport Boulevard and Pacific Coast Highway “Arches”

interchange improvements.

* ACTION: Approved 5-0.

* SUMMARY: The City Council awarded the Arches interchange improvements

contract to Brutoco Engineering and Construction Inc. two years ago. The

contract would allow the widening of the Newport Channel bridge, ramp

reconstruction, street widening and an upgraded bridge at Newport

Boulevard and Pacific Coast Highway. Improvements began in September 1997

and were nearly completed by May 1999, but the street widening was

delayed until the old Lido Sewage Pump Station was removed last month.

The work has now been completed and the final cost amounted to nearly

$15.7 million.