After listening to the presentation by applicant Drew Alcazar, who also puts on auto shows in Arizona and Monterey, Bixby said the project is "high class all the way" and would attract quality visitors to the downtown.
"But part of the measure of us being a city of law is we need to hold all projects to the standard of law," he said.
Bixby said beach parking lots are necessary to ensure coastal access for all visitors.
Even though the applicant is providing shuttle services from locations such as City Hall, Edison Park, Edison High School and Newland Barns, taking away beachside spots, even temporarily, will create an inconvenience for beachgoers, he said.
Assistant Planner Jill Arabe said the auction will be consistent with the Downtown Specific Plan and the Coastal Element because it is a temporary event.
Planning Director Scott Hess said he and his staff were in contact with the staff of the California Coastal Commission, which felt that the project was in compliance with beach-access regulations.
Hess said this project is similar to other temporary events that take place throughout beach communities, including chili cook-offs and jazz festivals.
"If it's really that bad, let's do it and see what happens," resident Victor Galich said at the meeting.
But Jack's Beach Concession owner Jack Clapp said he's concerned that area vendors will not benefit from the event or be given priority, as promised.
"I take little heart in that until I see a real agreement, something done in writing," he said.
Franklin said he would support the project if it were given a one-year pilot run.
mona.shadia@latimes.com
Twitter: @MonaShadia