June 3rd Employee Appreciation Day
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MCHA News Flash Vol. XXVI March 2015
March 2015 GA Ebulletin update
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2015 Education Leadership Seminars


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MINUTES: April 2nd, 2015 Meeting


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Minutes:  April 2, 2015 Meeting


Call to Order:  Teel called the meeting to order at 8:27 am, Redwood Room, Portola Hotel and Spa.


Present: Gary Cursio, Henry Ruhnke, Tom Rowley, John Narigi,  Bonnie Adams, Michael Bekker, David Armanasco (8:40), Rick Aldinger, Rene Boskoff, Hunter Harvath (8:34), Nicole Charles, Carol Chorbajian, Rick Heuer, Mary Alice Pettis, Jan Leasure


Guests: Chip Rerig


Minutes of the March 2015 meeting were approved.


Executive Committee Referral/ Member Issues/ADDITIONS:


Cursio reported that the City of Monterey had asked if they could become MCHA members. The Executive Committee decided that it would not be appropriate but did agree that the City could attend the GAC meetings but would have to excuse themselves on certain issues related to the City and could not vote.


Rowley reminded the GAC that there would be a presentation on the Deep Water Desal project at the HABLE luncheon April 15.


Teel introduced the issue of the MST Summer Shuttle and the City of Monterey’s request for business participation in funding.

·         Harvath said that the Shuttle runs Memorial Day through Labor Day. The schedule is set by the City. The City contributes $270-350,000/year from the parking fund. The Aquarium contributes about $60,000/year. The shuttle is now fully funded.

·         Motion by Narigi, second by Boskoff, unanimously carried (Harvath, Rerig, Charles abstained)

to not support asking members to participate in Trolley funding.






Task Force Updates:


Coalition of Peninsula Businesses/Regional Water Project:


Narigi reported:

·         The MPWMD’s Outdoor Seating ordinance passed its first reading and is scheduled to be adopted April 20th.

·         Rationing plans and CDO:

o   CAW and the MPWMD are working on a rationing plan. Key issues will be coordination with State rules and the enforcement of the rules. CPB will continue to work to be an active participant in the discussions.

o   The CDO will be discussed at the TAC (on the Monday following the GAC). The CPB has presented 18 points on the proposed CDO agreement. Key components are:

§  Independent review of the agreement to assess the likelihood of CAW meeting the schedule

§  That CAW stockholders, not ratepayers, pay any penalties and fines

§  Active role for CPB in developing a rationing plan.

§  That the ability to file suit be retained

§  That the ability to use the PG and Odello water be clarified

§  Questions the prohibition on new hookups to 2020.

·         The CAW slant well testing program is continuing and reports should be coming out soon.


156 Update:


Teel reported:

·         The 156 issues are beginning to heat up again.

·         Supervisor Phillips has asked for a traffic and revenue study before proceeding further. Staff is expected to respond in April or May.

·         TAMC staff has suggested to Teel that “other faces” from the Peninsula would be beneficial. Volunteers are needed for 2-5 meetings per month. Cursio said the Executive Committee will discuss additional MCHA representatives.

·         Narigi asked if there could be special toll rates for employees. Teel said the legal opinions were that anyone or group can get a special rate based on the need and facts. There would also be “frequent flyer” programs for drivers who were heavy users of 156.

·         Bekker asked if there is or will be a diversion study to examine the impact on area roads. Teel said that is a main topic and is being studies.


Conference Center:


Boskoff reported:

·         Construction is scheduled to start November 16th. The Conference Center will be fully closed during construction.

o   Phase 1, the downstairs area is scheduled to reopen September 2016. Phase 2, the upstairs area is scheduled to reopen December 2016.

o   The City and the MCCVB are working on joint press releases and an information program to keep the public and business community informed on progress.

o   There has been a positive response from potential conference center users to the renovation plan.

o   The City Council has approved issuance of $45 million in bonds.

·         Rerig reported:

o   The City Council held a study session March 25 on the redesign Portola Plaza options.

o   The Council is leaning toward using money from the Capital improvement budget.

o   The Conference Center staff will be relocated to 380 Alvarado during construction.

o   The ARC will consider “design details” and the Portola façade in May




·         Cursio gave an update on recent actions re Genera Plan Amendments:

·         The County Planning Commission considered a number of proposed amendments to the general plan that would have a “punishing” effect on the wine corridor and seriously impact water policy and potential development.

·         The Refinement Group has reengaged in the amendment process.

·         At public hearing March 25 the County PC considered all of the proposed amendments and unanimously recommended against all of the amendments. Several Commissioners were very critical of Landwatch efforts to circumvent the public general plan process through constant litigation.

·         The Board of Supervisors is scheduled to consider the amendments late April. RG representatives, including MCHA reps, are meeting individually with all of the Supervisors and are requesting resolutions opposing the amendments from all the cities.


·         Bekker asked Leasure to give an update on the County committee meetings on the Short Term Rentals

·         Leasure said there had been one meeting at Potter’s office. Potter has been clear that there will be an ordinance but it will likely be a “hair pulling process.” Research on being done on other agency regulations.

·         Bekker reported the GAC subcommittee has met once and will continue to work on developing a policy statement for MCHA.

·         Teel and Boskoff both commented on the need for STR to play by the same rules as other visitor accomodations.


Teel reported he had met with Mayor Kampe of Pacific Grove. Kampe has told him the City is looking at a range of ideas to increase revenues including sales tax, parcel tax, TOT and admission taxes. There has been no conclusion on direction. Bekker said he has met with members of the City Council to begin to educate them on tax and fee issues from the business perspective.




·         Charles reported the legislature is in recess. Committee hearings will begin with the legislature reconvenes.

·         Cursio asked about potential standards for water rationing. Narigi added that rationing standards should be community based and reflect efforts for conservation. Charles said the programs being discussed would be based on local water use. Emergency drought funding might become available.

·         Narigi them mentioned the concerns over the great number of bills that seems to be passed that have long term consequences including renting to minors, pets and ADA.


(Armanasco left)


Economic Agenda for Monterey:


Ruhnke said they continue to work with McCarthy on ways to get this in front of the Council. It has been suggested there be an initial presentation at Public Comment April 21. It may be delayed to May to make sure Barrett is present. Cursio asked if it was time to reconvene the working group. Ruhnke said it was something to consider.  


Old Business:


Cursio reported on the Seaside City Council hearings on Monterey Downs. The City continued the ENA for an additional year. The EIR is available for public review and will be the subject of a great deal of public controversy.


Announcements: Adams distributed information on the Gollnick dinner April 11.


(Rerig left)


Monterey Wharf leases:


·         Pettis gave an overview of recent events between the City and Wharf lessees. Monterey wants to address all of the leases and move to 3, 5, and 10 year leases. This could have a very chilling effect on business. Some Wharf lessees are considering filing suit if the City continues in that direction.

·         Cursio said work is needed to educate the Council on leases and the costs involved to lessees beyond the cost of the lease and the ability to pay for improvements based on short leases.

·         Teel appointed a subcommittee of Cursio, Narigi, Bekker, Ruhnke and Pettis to discuss the issue further and return with a recommendation. Bekker and Ruhnke to co-chair.


ADJOURNED at 10:14 am to May 7, 2015.


Prepared by Dale Ellis, Government Affairs Director

Monterey County Hospitality Association


Monterey County Hospitality Association PO Box 223542 • Carmel, CA • 93922 •
(PH) 831.626.8636 • (FX) 831.626.4269 Info@mcha.net