MINUTES OJAI CITY COUNCIL AND OJAI REDEVELOPMENT AGENCY SUCCESSOR AGENCY TUESDAY, NOVEMBER 10, 2015 Mayor Lara called the regular meeting of the Ojai City Council to order on Tuesday, November 10, 2015 at 7:00 p.m. in the Council Chambers of Ojai City Hall, 401 S. Ventura St., Ojai, California. Mayor Lara asked for a moment of silence in memory of Adan Lara, longtime Ojai resident, who was struck by a car and killed Oct. 30 while working as part of a Ventura County Public Works crew clearing a drainage ditch on Creek Road. ROLL CALL On the call of the roll the following Council Members reported present: Paul Blatz, Betsy Clapp, Randy Haney, Severo Lara and William Weirick. Also present were: City Manager Robert Clark, City Attorney Matthew Summers, Sgt. Rick Harwood and City Clerk Rhonda Basore. ABSENCES — None. PLEDGE OF ALLEGIANCE — Council Member Clapp PRESENTATIONS 1.

Recognition of outgoing Parks and Recreation Commission Sunday Rylander

Mayor Lara recognized Sunday Rylander for her service. Ms. Rylander said a few words. 2.

Direct Energy Solar, Wayne Pendrey

Wayne Pendrey presented the company Direct Energy Solar. He said the company was founded in 2008 under the name of Astrum Solar. As a full service solar provider, Astrum Solar's mission was to spread solar power to the rooftops of America and to ensure that its customers get the most out of their solar panels. In 2014 the company spread into California. In July 2014, Astrum Solar became a part of the Direct Energy family and in 2015 renamed the brand to Direct Energy Solar. He said he is available to answer any questions and work with the city. DISCUSSION ITEM Mayor Lara indicated he would like to hear Item 2 at this time in the meeting.

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Appointment to the Parks and Recreation Commission

Mayor Lara gave a report on the interview process and asked if there was anyone wishing to speak on this item. There was no one wishing to speak. MOTION: It was moved by Mayor Lara, seconded by Mayor pro tem Blatz to appoint Bryan Wilson to serve on the Parks and Recreation Commission for a term to end May 31, 2018 and Maya Gilbert to serve in the Youth position for a term to end May 31, 2016. On roll call the vote was: AYES: Blatz, Clapp, Haney, Lara, Weirick NOES: None ABSENT: None ABSTAIN: None Bryan and Maya both said a few words. PUBLIC COMMUNICATIONS Mayor Lara said due to a lengthy agenda he was going to limit public communication period to 30 minutes. Valerie Mintz, Ojai, spoke on the landscaping plan for Whispering Oaks. Council Member Weirick said the City Council directed staff to contact Area Housing Authority (AHA) with the residents' concerns. The City Manager said he spoke with AHA about the residents' concerns. Connor Jones, Ojai, spoke on the decomposed granite being installed at Whispering Oaks and how erosive decomposed granite is. Mayor pro tern Blatz said AHA has control over Whispering Oaks and the residents need to contact AHA. Noel Douglas, Ojai, spoke on landscape plan for Whispering Oaks, the use of decomposed granite instead of mulch. Becky Collins, Ojai, said the City Council needs to focus on the upcoming El Nino. Cindy Convery, Ojai, spoke on Building Appeals Board duties, ethics, Board Members violations and transparency. The City Council directed staff to answer Ms. Convery's questions and to place on a future agenda review of all Commission's duties.

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Judy Devore, Ojai, asked if a fact sheet could be created regarding the land behind city hall being considered for an affordable housing project. She also asked if notification of when a proposal will be coming forward for an affordable housing project could be well in advance of the meeting. Mayor pro tern Blatz said there has been no proposal submitted for an affordable housing project at this time. Alex Sheinvnoff, Ojai, spoke on the enforcement of hedges. He said he has an old hedge that he does not want to cut down. He asked for the city to look at specific situations and then determine whether or not it is unsafe. Mayor Lara said at this time the Public Comment period was being continued to after all the discussion items have been heard. REPORTS FROM COUNCIL MEMBERS Council Member Weirick said it has been three months since the leaf blower issue was before the City Council. He voiced his concern over the amount of time it is taking to bring the leaf blower issue forward for deliberation. City Manager Robert Clark said the agenda schedule is set by himself and the Mayor. He said if City Council has concerns with how the agenda is set, they should bring them to him individually rather than discuss at an open session. Council Member Weirick said the public needs to know how he feels and why items take so long to be discussed. Mayor Lara said the items have been limited on the agenda's because of importance and how long discussions have been. The City Council has had some big issues before them and this pushes other items further out. Mayor pro tern Blatz reported on Gold Coast Transit ridership statistics and the regional transit plan. Mayor Lara reported on regional plan for Ventura, Los Angeles, San Bernardino and Riverside Counties and Complete Streets progress. He said there is a meeting for American Water Association on November 19 and asked if anyone from the City Council would like to go. Council Member Haney volunteered to attend. CONSENT CALENDAR (Items la — 'If) Council Member Weirick asked to pull Item 1E for further discussion. 1. a) Waiver of Reading in Full of Any and All Ordinances Listed on this Agenda and Provide that they be Read by Title Only and Directing the Clerk to Assign an Ordinance Number Upon Successful Introduction.

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b) Warrants for October 3, 2015 through October 29, 2015 in the amount of $671,113.08 ACTION: Authorized payment. c) Treasurer's Monthly Report of Investments for the City of Ojai and the Redevelopment Agency Successor Agency ACTION: Received and filed. d) Minutes of the Planning Commission meeting for October 7, 2015. ACTION: Informational only. f) First Amendment to the Agreement for Legal Services ACTION: Approved the First Amendment to the Agreement for Legal Services. MOTION: It was moved by Mayor pro tem Blatz, seconded by Council Member Clapp to approve Consent Calendar Items 1A through 1D and 1F as submitted. On roll call the vote was: AYES: Blatz, Clapp, Haney, Lara, Weirick NOES: None ABSENT: None ABSTAIN: None e) Resolution Confirming the Action of the Council to Suspend Enforcement of Regulations Relating to the Height of Existing Hedges, Walls and Fences Council Member Weirick said the original recommendation has been changed, at his request, to include "for situations that presented safety concerns". He also would like to see more flexibility when drafting a new ordinance. He said on November 17 will be further discussion on height standards for fences, walls and hedges and encouraged the community to submit their ideas. He read from a document National Association of City Transportation Officials. Quote: "In determining the sight distance triangle for a given intersection, use the target speed, rather than the design speed for that intersection. Fixed objects, such as trees, buildings, signs, and street furniture, deemed to inhibit the visibility of a given intersection and create safety concerns, should not be removed without the prior consideration of alternative safety mitigation measures, including a reduction in traffic speeds, an increase in visibility through curb extensions or geometric design, or the addition of supplementary warning signs." MOTION: It was moved by Council Member Weirick, seconded by Mayor pro tern Blatz to adopt the resolution presented this evening (Resolution No. 15-43) which confirms the suspension of enforcement of regulations relating to the height of existing hedges, walls and fences and clarifying that board and commission discussions relating to hedges, walls and fences should be provided by participation in the Neighborhood Planning process. On roll call the vote was:

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AYES: Blatz, Clapp, Haney, Lara, Weirick None NOES: ABSENT: None ABSTAIN: None PUBLIC HEARING- None. DISCUSSION ITEMS 3.

Agreement with Sterling Venue Ventures, LLC, for the Use of Libber Bowl

City Manager Robert Clark presented the administrative report. Lance Sterling said his company specializes in promoting and producing small venues (under 2,000 seats). Mayor pro tern Blatz said it has been a pleasure working with Mr. Sterling through this process. He said is excited in the possibility of working with him. He said as part of the proposal Mr. Sterling intends to equip the Bowl with state-of-the-art sound and lighting equipment. Mr. Sterling said the idea is to install semi-permanent sound equipment, making it easier for performers to perform in the Bowl. Council Member Haney asked how he will get a A listed performer to come to Ojai. Mr. Sterling said he has a proven track record of booking good performers. He works to bring what the community wants. Council Member Weirick said he has some issues with the contract and he would like more time to review. He asked to what extent "intensity of use" will be. He understood the promoter wanted to produce approximately 17 events. He thought the performers should be memorialized in the contract. Mr. Sterling said that is correct. He said he plans on creating a turn-key operation. He said he will book what the clientele demands. He said the City Council can cross off names on the performer list he provided if they feel that performer does not match Ojai's character. Mayor Lara said he is impressed by Mr. Sterlings resume. He wished the process had included Request for Proposals. He also felt the contract should have been posted longer for the community to view. He didn't want to rush the process. Council Member Clapp said she too had questions about the contract and wanted to table this for further discussion. Mayor Lara asked if there was anyone wishing to speak on this item.

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Jim Lenz, Ojai, said he works with Mr. Sterling. He said Mr. Sterling is a stand up guy and felt he would make a good fit. He said right now is the time to book venues for the 2016 season. Jamie Bennett, Ojai Music Festival, said Mr. Sterling has good ideas. He said he has not had time to review the contract. He said the Music Festival has a contract with the city to use the Bowl. He wants to make sure there will be no conflicts with putting on the Music Festival. He had concerns about the possibility of having to take and replace the lighting and sound system. Joan Kemper, Libbey Bowl Committee, said she was honored to serve on the Libbey Bowl Committee. She said she knows a lot of people in the industry and Sterling VV came out ahead of everyone else. She said the idea is to move forward to try and book events for 2016. Council Member Weirick felt the item should be continued to the meeting on November 17. MOTION: It was moved by Council Member Weirick, seconded by Mayor pro tern Blatz to continue the agreement with Sterling Venue Ventures, LLC, for the Use of Libbey Bowl to the November 17 City Council special meeting. On roll call the vote was: Blatz, Clapp, Haney, Lara, Weirick AYES: None NOES: ABSENT: None ABSTAIN: None 4. Short-Term Vacation Rental Focus Group Report and Recommendation City Manager Robert Clark presented the administrative report. Council Member Clapp gave the short term vacation rental focus groups report and recommendations. She thanked everyone who participated in the group. There was a total of eight participants and two Council members; Bill Weirick and Betsy Clapp: • Two vacation rental operators • One affordable housing advocate • One real estate agent • One real estate agent specializing in long term rentals • One Ojai raised young married professional • One citizen at large • One business owner • One hotel owner/operator Three out of eight participants are renters.

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Suggested Terms and Conditions For Ordinance • •

Ordinance applies to all legal dwelling units in all zones within the city limits of Ojai This includes any and all units used as a short term vacation rental prior to the adoption of this ordinance. Units made legal under the city's second unit compliance program do not qualify

Short Term Vacation rentals shall be allowed only under the following conditions: • • • • • •

Hosted (owner must be present in home for duration of rental) Rental shall be for 30 days or less Must have a valid City business license Operator must have insurance coverage for vacation rental use Dwelling must be permitted under Ojai Municipal Code requirements Rentals are limited to four legacy events per year. Music Festival, Tennis Tournament, Film Festival and OSA Tour • Operation complies with all regulation The following are prohibited • • • • •

Weddings, events, etc. are not permitted uses Advertising must comply with ordinance No advertising anywhere on the property Not to exceed 2 guests per room Operates in compliance with City conditions

Licensing requirements • Proof of insurance • Legally permitted dwelling • Any fines or penalties for ADA or FHA violations must be satisfied • Owner will post license in the rental unit Enforcement • • • • • • •

Penalties to be determined by Council Anyone may seek an injunction or other legal remedy Fines and license pays for enforcement Hot line City will review websites and respond to complaints Violations subject to revocation of permit/license Violations are punishable with fines

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Additional Recommendations • Have contained in "Host" packet, as well as on the City website, regulations for establishing a Bed and Breakfast. • Review Bed and Breakfast requirements to ensure easy to understand to encourage legal opportunities for someone to enter the hospitality industry • Work with Ventura County to encourage a similar ordinance in the County. • Explore ways to make the development of "boutique" hotels easily understood and easy to navigate Council Member Weirick said there is no regulation or guidance right now and enforcement has not been done for over five years. He understood the city may not have enough rentals to support the tourists. But he said you cannot have a large part of the housing becoming rentals for tourists and not support those wanting to live in Ojai. He said the same rules and regulations that apply to hotels/motels should apply. The rentals should be legally licensed and permitted. He did not want to see investment companies coming in and buying up the housing stock or the small amount of available housing stock being renovated and used for short term rentals. Council Member Haney agreed there needed to be a balancing act that fits the needs of the community. Mayor Lara asked if there was anyone wishing to speak on this item. Starr Crabtree, outside city limits, said she lives outside the city limits, but across from her is a home that is in the city limits that is used for short term rentals. She said people drive up her driveway all the time thinking her home is the rental. She says it is very upsetting. She says she has no peace. There is a new group of people all the time partying and making noise. She bought her home in a residential district. She does not want to live in a commercial area. She would like the ordinance on the books enforced. She could live with rentals over 30 days and other suggestions the focus group is recommending. Linda Steis, Ojai, said the report is unfounded. She said regulate those that are abusing the laws but don't punish all. She most business owners are willing to get licensed and abide by the rules. She asked if the ordinance is going to be enforced please allow six months for business owners to clear their calendars of reservations. Jim Seaman, Ojai, said there needs to be different rules for those that own a second unit they rent out versus someone that rents out their home. He said property owners should be able to rent out their homes. He said don't violate the private economic situations of property owners. He said taking short term rentals off the market will not help the housing market. Anthony Voogd, Ojai, said he does not want to live next to a hotel in a residential area. He said there is historical designated home in his area that is being rented out. He said the historical home gets tax incentives. He did not feel it should be allowed to be rented. He said it is the city's responsibility to enforce the laws. He said it will be hard to determine which places are being rented out but wants the laws properly enforced

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and exclude historical landmarks. Barry Betlock, Ojai, clarified if second dwelling units would not be allowed to be rented. Council Member Clapp said that is correct. Mr. Betlock said he just went through a lengthy process to legalize a second unit. He said the agreement states there are no restrictions on rentals or leases. To now suggest that second units cannot be used as short term rentals is absurd. City Attorney Matthew Summers said the pathway to legalize existing unpermitted second units a way to legalize non-conforming units. He said the second units can be rented as long as the main unit is owner occupied. Mr. Betlock said the property owner is responsible for its own home. He did not want anyone telling him what he can and can't do with his own home. He said his neighbors would definitely let him know if his renters were too noisy. He said he would get licensed or pay taxes if that is what is required. Mayor pro tem Blatz said what is before the City Council this evening is a report from the focus group. He said the purpose tonight is to provide direction the City Manager and/or City Attorney regarding what should or should not be allowed and recommendations for changes to the ordinance. Council Member Clapp asked if clapping and hollering from the audience could be restricted as it is destructive to the meeting. Dale Hanson, Building Appeals Board Member, explained the second unit purpose is to create long term affordable housing rentals. As a resident of Ojai, she said there should not be short term rentals in residential areas. She said no people should be making money by hurting others in the community. She said if this is not enforced then the city might as well not enforce any rules. Judy Devore, Second Unit Ombudsman, said the second unit compliance program has inconsistencies. She brought this before the City Council a few months ago and is bringing the inconsistency forward again. She said the guidelines do not state second units cannot be rental for short-term rentals. She believed the un-hosted units seem to be causing the problems. She said there needs to be a balancing act. Brock Bernstein, Ojai, said he rents out his home. He would be happy to comply with the laws. He said the report is vague. He said Section 4B states the hosts takes financial responsibility for any damages caused by renters. Does this mean he would be responsible for any renter in the city? This statement does not make sense. He said this could lead to unnecessary legal ramifications. He said the main intent of the report is to reduce short term rentals to just a few weeks in the year. This will hurt those trying to rent and hurt the economics of Ojai. He said 6B states any interested person may seek an injunction or other relief to prevent and remedy violations of the ordinance. What is the city's responsibility in this? Again this could lead to unnecessary legal ramifications. Any rules adopted need to be clear and concise.

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Carolyn Vondriska, Ojai, said she owns three long term rentals in Ojai. She pays tax on her rentals, they are permitted and legal. She said without a Conditional Use Permit they are not legal. She said short term rentals hurt the economic base by taking away income from the hotels. She said the supply of long term rentals are being depleted. It concerns her Ojai may become a short term rental hiatus for non-participating community members and push out the much needed families to support schools and businesses in Ojai. She said if you are going to allow short term rentals, then make them get licensed, pay taxes and proper permitting. Frank Lusico, Ojai, felt people are over reacting. He said there are approximately 103 homes listed on Air BnB in the Ojai area. (not just Ojai city limits) He said people have been renting their homes for a long time. He said the landlord is responsible for the upkeep and controlling what goes on in the home. If there are complaints, then fine the landlords. He said make rules that can be enforced. Don't punish those that comply and don't harm the community. Sherry Stuckey, Ojai, said she rents her home in order to be able to live in Ojai. She uses vacation rentals to have a different experience from hotel renting. She said she submitted the Cambridge ordinance before and still recommends the city should review this ordinance. She said some existing leases have been booked for a year and if they hosts now have to cancel could create issues. She supports on-site management. Gillian McMannis, Ojai Music Festival, said the Ojai Music Festival brings musicians and artists to the city during the Music Festival. During the Music Festival these musicians and artists need to be housed. She said to house these people they use individuals willing to open their homes, and rentals from Air BnB. She said they try not to book the hotels/motels as to leave these available for patrons attending the Festival. She said the performers love staying in Ojai. She asked what she should do as she has booked places listed on Air BnB for the upcoming season. Council Member Weirick said the enforcement is on suspension at this time. Natasha Katsikaris, Ojai, said she occasionally rents out a room. She is appalled at the suggestions by the Focus Group to shut down small time local rentals. She said the large investors will soon take over Ojai. She said the integrity and peace of Ojai need to be maintained. She said she rents an affordable room to the working people who want to attend yoga seminars in Ojai. She people commend her for her service that enables them to attend yoga workshops. She said small scale part time short term renters should have certain rights. She said the zoning laws should be enforced. She said part time rentals do not violate the laws. She said go after the commercial places that are making a huge income that don't live here. Brian Ford, Ojai, said he owns a short term rental and not once has there been a disturbance. He said limiting the time for rentals is unreasonable. He agreed taxes should be collected; the places should be licensed and legally permitted. He says don't punish those that are willing to follow the rules.

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Janet Cull, Ojai, said her neighborhood is morphing into short term rentals and would like to see rules and regulations enforced and/or adopt the recommendations of the focus group. Paul Crabtree, Ojai, said the Focus Group findings are good, except the consequences for un-hosted also apply to hosted rentals. He existing codes provides for a public process to legalize short term rentals. The existing units violate the existing code and should be dealt with. He supports long term rentals which help make Ojai sustainable. He supports the recommendations of the focus group but only with the maximum amount allowed without damaging Ojai. Lydia Golden, Ojai, said she has a short term rental in her home and rents her granny flat long term. She is very grateful to be able to live in Ojai and share Ojai with others. She felt very offended by the report. She felt the report is hostile and doesn't solve anything. She said the report affects small time renters but does not stop the large investors from buying up the housing stock to rent out. Antoinette Levine, Ojai, disagreed with limiting rentals to a certain number of events per year. Chris Hilgers, Ojai, said something has to be done. The neighborhoods are being gutted and soon nobody will know their neighbors. He said the laws need to be enforced. Wendy Hilgers, Ojai, asked shy people are not listening to the laws. She bought a home in a residential zone and does not want to live next to a commercial business. She said Ojai is being hollowed out. She said people that follow the rules are being punished by the non-enforcement of the laws. Carol Smith, Ojai, said the units are not short-term if rented for 30 days or more. She said someone could have people stay for less than 30 days, but not allowed to rent the unit again until 30 days have passed. She did agree the laws needed to be enforced. She said she would not like it if her neighbors changed all the time. On another note she said she was disappointed in the way the meetings are run. There should be no clapping, comments from the audience and the three minute timer should be enforced. Kathy Richards, Ojai, said she does not want to live in a commercial zone. She bought in a residential zone to live in a residential zone. She appreciates the work of the focus group but did not agree with the report. She found the report hostile and supports big investors. Stacey Jones, Meiners Oaks, said daily she is looking for an affordable place to rent in Ojai. She has asked short term rental owners if they would rent to her long term and they have told her no. They say they can make more income renting short term. Bill Miley, Ojai, said short term rentals are growing rapidly and are weakening Ojai. He supported the focus groups recommendations. She said something has to be done before Ojai is taken over by out of town investors.

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Sharon Bushman, Ojai, said she rented a placed in Ojai and loved the experience so much she since has bought a home in Ojai. She said using short term rentals has made it affordable and convenient for her and her family to travel. At this time there were no other speakers. Council Member Weirick said everything he has heard tonight supports that the current situation is corrosive to the character of Ojai. He said the report is recommendations to the City Attorney to help draft a new ordinance. He said it has been valuable listening to everyone. He said the current situation cannot continue. Council Member Clapp said the focus group consisted of a broad spectrum. Many people that participated changed their mind as the process evolved. She said she sees how corrosive this is to the community. She said the report is preliminary. She felt the recommendations are fair. She would like the City Attorney to draft something for review. She said there will be more meetings for public input before a final ordinance is adopted. Mayor pro tem Blatz said this is an important issue. He said the short term rentals would not be here if there is no demand. He said short term rentals are detrimental to residential zones. He said the question is how will the integrity of the neighborhoods be protected. He did not support an entire ban. He said how can the city enforce someone that rents out a room. There should be some places exempt. The homes that are rented should be regulated, permitted and licensed. He is inclined to say no rentals less than 29 days. (30 days kicks the landlord/tenant laws) He supported owner occupied for second units and not the main house. He said a map needs to be created showing where the units are located so one area is not over burdened. Council Member Haney said there is a lot to digest. He wants a mechanism of enforcement. He supported having the City Attorney prepare something for review. He said the City Council needs to make decisions and start enforcing the laws. Mayor pro tem Blatz asked if the moratorium can be lifted on un-hosted units. City Attorney said yes. Mayor Lara said there is a lot of information to review and felt this item should be continued. He was not ready to direct the City Attorney to draft something. Council Member Weirick said the issues from the workshop have been addressed. Council Member Clapp did not want to continue. ACTION: Direction was given to continue the discussion to December 8, 2015 City Council meeting. At this point in the meeting the Mayor asked if there was anyone wishing to speak under Public Comment. There was no one left in the audience that had filled out speaker cards.

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The regular meeting of the City Council recessed at 11:41 p.m. and the regular Ojai Redevelopment Successor Agency meeting convened. Ojai Redevelopment Successor Agency (RDSA) CONSENT CALENDAR (Item 5a) 5.

a)

Warrants for October 3, 2015 through October 29, 2015 in the amount of $1,225.76 ACTION: Authorized payments.

MOTION: It was moved by Vice Chair Blatz, seconded by Council Member Haney to approve the Successor Agency Consent Calendar as submitted. On roll call the vote was: AYES: Blatz, Clapp, Haney, Lara, Weirick NOES: None ABSENT: None ABSTAIN: None The regular meeting of the Ojai Successor Redevelopment Agency adjourned at 11:42 p.m. and the regular Ojai City Council meeting reconvened. ORAL REPORT(S) FROM CITY MANAGER Council Member Haney and Council Member Clapp said the three minute time needs to be adhered to in order to streamline the meetings. When there are a lot of speakers it is only fair to adhere to the time so all are able to speak. There are a lot of people that were not allowed to speak tonight due to lateness of the meeting. Mayor Lara said it takes a lot for someone to approach to speak and didn't want to cut someone off. He likes to hear from the public on the important issues. Mayor pro tern Blatz said the rule is all comments should be limited to three minutes, unless additional time is granted by the Mayor/Chair. The Mayor/Chair controls the meeting and the other members of the legislative body should respect this. CLOSED SESSION ITEMS — None. ADJOURNMENT The meeting adjourned at 12:05 a.m. Respectfully submitted:

Le-kekaL_. K 13aAt3uz___. Rhonda K. Basore, City Clerk

Severo Lara, Mayor