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2017 05 16 CC MinutesCITY COUNCIL MINUTES Page 1 of 10 MAY 16, 2017 CITY COUNCIL MINUTES TUESDAY, MAY 16, 2017 A regular meeting of the La Quinta City Council was called to order at 3:30 p.m. by Mayor Evans. PRESENT: Councilmembers Fitzpatrick, Peña, Sanchez, Mayor Evans ABSENT: Mayor Pro Tem Radi MOTION – A motion was made and seconded by Councilmembers Peña/Fitzpatrick to excuse Mayor Pro Tem Radi’s absence. Motion passed: ayes 4, absent 1 (Radi). PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None CONFIRMATION OF AGENDA City Manager Spevacek requested the following changes to the agenda:  Introduce new staff members and show a video of the Silverrock golf course realignment construction progress under the Announcements, Presentations and Written Communications portion of the meeting.  Continue Consent Calendar Item No. 11; he explained RJ Mayer, applicant and property owner, submitted a written request for a two-week continuation (the applicant’s request dated May 16, 2017 is on file in the Clerk’s Office).  Continue Study Session Item No. 1 at the request of Riverside County until a county representative could attend the Council meeting. Council concurred and confirmed the agenda as amended. CLOSED SESSION 1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956.8 FOR PROPERTY LOCATED ON HIGHWAY 111 EAST OF DUNE PALMS (APN 600-020-053) CITY NEGOTIATOR: FRANK J. SPEVACEK, CITY MANAGER PROPERTY OWNER: CITY OF LA QUINTA UNDER NEGOTIATION: PRICE AND TERMS OF PAYMENT AND/OR DISPOSITION OF THE PROPERTY IDENTIFIED COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING AND MOVED INTO CLOSED SESSION AT 3:34 P.M. CITY COUNCIL MINUTES Page 2 of 10 MAY 16, 2017 MAYOR EVANS RECONVENED THE OPEN SESSION PORTION OF THE CITY COUNCIL MEETING AT 4:01 P.M. WITH ALL MEMBERS PRESENT EXCEPT COUNCILMEMBER RADI REPORT ON ACTION(S) TAKEN IN CLOSED SESSION: City Attorney Ihrke reported no actions were taken in Closed Session that require reporting pursuant to Government Code section 54957.1 (Brown Act). PLEDGE OF ALLEGIANCE Councilmember Peña led the audience in the pledge of allegiance. PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA PUBLIC SPEAKER: Mr. Mark Johnson, La Quinta – introduced himself and said the La Quinta resident golfers (LQ Golfers) provided to Council verbal and written comments on tee times and green fees at the March 21, 2017 Study Session item regarding the Silverrock development. Additional verbal and written comments were provided on the proposed Covenants and Amendment No. 2 to Purchase, Sale, and Development Agreement for the Silverrock development at the April 18, 2017, Business Session item. He noted the LQ Golfers were disappointed to find out that the covenants were recorded exactly as originally proposed and the amendments suggested by the LQ Golfers were not adequately considered. He asked the Council to listen, acknowledge, and respond to the La Quinta residents; and to consider the feedback of the LQ Golfers who frequently utilize the golf course, have decades of golf experience, and aim to maintain and improve the residents’ golf privileges. He expressed his personal disappointment as he has invested considerable time and resources in trying to make La Quinta a better community through his service on the Advisory Committee, the Community Services Commission, and Vote “Yes on Measure G” Committee. He said the LQ Golfers were excited to work with the Robert Green Development Co. (RGDC) which has been very responsive to their inquiries. He requested that Council create an Ad-hoc Committee comprised of Councilmembers, LQ Golfers, and representatives of the RGDC to review the detailed comments provided by the LQ Golfers on the Silverrock development covenants and bring appropriate changes to Council for consideration. PUBLIC SPEAKER: Mr. James R. Paul, La Quinta – introduced himself and commended Council for dedicating their time and service to the City, and for a job well done. ANNOUNCEMENTS, PRESENTATIONS AND WRITTEN COMMUNICATIONS 1. INTRODUCE NEW CITY STAFF City Manager Spevacek introduced Senior Planner Cheri Flores with the Planning Division and Office Assistant Mirta Lerma with the Design and Development Department. CITY COUNCIL MINUTES Page 3 of 10 MAY 16, 2017 2. SILVERROCK DEVELOPMENT COMPANY’S GOLF COURSE REALIGNMENT UPDATE Facilities Director Howlett presented a video showing the construction progress on the Silverrock golf course realignment project. PUBLIC SPEAKER: Randy Duncan, General Manager SilverRock Resort Golf Course – introduced himself and provided Council with an update on staff’s efforts to ensure the La Quinta residents are aware of the current construction and the reduced golf rates to compensate for the temporary inconvenience until the golf course realignment is completed. CONSENT CALENDAR 1. APPROVE MINUTES OF MAY 2, 2017 2. APPROVE CHANGE ORDER NO. 1 TO CONTRACT WITH HORIZON LIGHTING, INC. TO EXTEND CITYWIDE LIGHTING MAINTENANCE SERVICES FOR ONE YEAR 3. APPROVE CHANGE ORDER NO. 2 TO CONTRACT WITH CONSERVE LANDCARE, INC. TO EXTEND LANDSCAPE MAINTENANCE SERVICES FOR ONE YEAR AND INCREASE CONTRACT AMOUNT 4. APPROVE CHANGE ORDER NO. 2 TO CONTRACT WITH CONSERVE LANDCARE, INC. TO EXTEND PARK LANDSCAPE MAINTENANCE SERVICES FOR ONE YEAR 5. APPROVE AMENDMENT NO. 1 TO THE CONTRACT WITH NELSEN’S JANITORIAL SERVICE FOR JANITORIAL SERVICES EXTENDING THE TERM ONE YEAR AND INCREASING SERVICES AND THE CONTRACT AMOUNT 6. APPROVE DEMAND REGISTERS DATED APRIL 28 AND MAY 5, 2017 7. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORTS DATED JANUARY 31 AND FEBRUARY 28, 2017 8. ACCEPT ON-SITE IMPROVEMENTS ASSOCIATED WITH THE RESIDENCE CLUB AT PGA WEST RESIDENTIAL DEVELOPMENT (TRACT MAP NO. 31627) LOCATED AT THE SOUTHEAST CORNER OF AVENUE 54 AND PGA BOULEVARD 9. ADOPT A RESOLUTION GRANTING CONDITIONAL APPROVAL OF FINAL PARCEL MAP NO. 36836 ASSOCIATED WITH THE J. PAUL COMMERCIAL BUILDING LOCATED AT THE NORTHWEST CORNER OF DUNE PALMS ROAD AND CORPORATE CENTRE DRIVE CITY COUNCIL MINUTES Page 4 of 10 MAY 16, 2017 10. APPROVE AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES AGREEMENT WITH TRAFFEX ENGINEERS, INC. FOR CONTRACT TRAFFIC ENGINEER SERVICES 11. pulled at applicant’s request >>> ADOPT A RESOLUTION FOR THE FIFTH EXTENSION OF CONDITIONAL USE PERMIT 2007-105 AND SITE DEVELOPMENT PERMIT 2006-875, AND THE FIRST EXTENSION OF TENTATIVE PARCEL MAP 35088 LOCATED AT THE NORTHEAST CORNER OF WASHINGTON STREET AND FRED WARING DRIVE 12 ADOPT RESOLUTION REQUESTING COUNTY OF RIVERSIDE PLACE COLLECTION COSTS FOR SOLID WASTE HANDLING SERVICES AT SINGLE-FAMILY DWELLINGS ON TAX ROLLS 13. APPROVE AMENDMENT NO. 1 TO PROFESSIONAL SERVICES AGREEMENT WITH MICHAEL BAKER INTERNATIONAL TO PREPARE PLANS, SPECIFICATIONS AND ENGINEER’S ESTIMATE FOR THE EISENHOWER DRIVE RETENTION BASIN IMPROVEMENTS 14. APPROVE DECLARATION OF SURPLUS 15. APPROVE A PROFESSIONAL SERVICES AGREEMENT WITH LANCE, SOLL & LUNGHARD, LLP FOR ACCOUNTING SERVICES Councilmembers discussed the level of service and satisfaction expected of the maintenance services agreements for citywide lighting and landscaping; additional janitorial services included in the agreement extension; ensuring that landscaping is included along Eisenhower Drive, to enhance the area; the need to identify the drainage impacts for Eisenhower Drive before landscaping options can be considered; and ensuring the construction of Eisenhower Drive is scheduled during the off-season. MOTION – A motion was made and seconded by Councilmembers Peña/Fitzpatrick to approve the Consent Calendar as amended, with Item Nos. 9 and 12 adopting Resolution Nos. 2017-017 and 2017-018 respectively. Motion passed: ayes 4, absent 1 (Radi). BUSINESS SESSION 1. APPROVE SETTLEMENT AGREEMENT AND MUTUAL RELEASE, AND RELATED APPURTENANCE AGREEMENTS, FOR ALVERIZ ET AL. V. CITY OF LA QUINTA ET AL., AND BARTON ET AL. V. CITY OF LA QUINTA ET AL., RIVERSIDE COUNTY SUPERIOR COURT, CASE NOS. PSC 1503161 AND PSC 1505200 City Attorney Ihrke presented the staff report, which is on file in the Clerk’s Office. CITY COUNCIL MINUTES Page 5 of 10 MAY 16, 2017 MOTION – A motion was made and seconded by Councilmembers Peña/Fitzpatrick to approve Settlement Agreement and Mutual Release, Appurtenance Agreement (Dunes Golf Course/Haciendas), and Appurtenance Agreement (Lower Cove), substantially in forms attached; and to authorize the City Manager to execute agreements on behalf of the City, accept non-substantive corrections to agreements, and direct implementing actions pursuant to the settlement. Motion passed: ayes 4, absent 1 (Radi). 2. INTRODUCE FOR FIRST READING AN ORDINANCE REVISING SEVERAL CHAPTERS OF TITLE 12 OF THE LA QUINTA MUNICIPAL CODE RELATED TO VEHICLES AND TRAFFIC [ORDINANCE NO. 559] Principal Engineer Wimmer presented the staff report, which is on file in the Clerk’s Office. Councilmembers discussed the proposed code changes and asked clarifying questions of staff regarding Section 12.60.010 (Establishment); Chapter 12.60 Loading Zones; Section 12.08.070 (Traffic engineer – Duties); Section 12.16.070 (Installation at intersection – Require where); Chapter 12.32 Parking; Chapter 12.69 Golf Carts; Section 12.56.030 (Truck routes – Exemptions); Section 1.09.020 (Authority and fines); Section 1.09.030 (Failure to pay fines); Section 1.01.250 (Vialations public nuisances); and Section 1.01.200 (Violation – Infraction). MOTION – A motion was made and seconded by Councilmembers Fitzpatrick/Peña to take up Ordinance No. 559 by title and number only and waive further reading. Motion passed: ayes 4, absent 1 (Radi). Deputy City Clerk Radeva read the following title of Ordinance No. 559 into the record: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, AMENDING SEVERAL CHAPTERS OF THE MUNICIPAL CODE TITLE 12 AND DELETING CERTAIN SECTIONS OF TITLE 12 RELATING TO VEHICLES AND TRAFFIC MOTION – A motion was made and seconded by Councilmembers Fitzpatrick/Peña to introduce at first reading Ordinance No. 559 as recommended. Motion passed: ayes 4, absent 1 (Radi). 3. APPROVE SILVERROCK RESORT 2017/18 ANNUAL PLAN Facilities Director Howlett presented the staff report, which is on file in the Clerk’s Office. Councilmembers discussed the golf carts’ GPS system and its benefits and capabilities; Silverrock’s proposed marketing budget and its correlation with the City’s branding efforts; modifying Silverrock’s model of advertising to incorporate the future home of the Montage brand; metrics on golf patrons’ profile; golf course realignment and remodel; two percent capital reserve; possibility of utilizing solar power to offset some CITY COUNCIL MINUTES Page 6 of 10 MAY 16, 2017 of the operational costs in the future; ability for residents to book tee times starting at 5:00 a.m. daily as of May 1; and temporary golf clubhouse. Council directed staff to schedule the following items for Council’s consideration: 1) the increase of the golf rates when the realignment is completed and the golf course reopens in November; 2) the review of the residents’ golf rules, process, fees, and timing; and 3) to discuss the formation of an Ad-hoc Golf Advisory Committee to assist with the review of the residents’ golfer benefits. PUBLIC SPEAKER: Mr. Mark Johnson, La Quinta – introduced himself and said the LQ Golfers reviewed the 2017/18 Silverrock Annual Plan and find the $434,000 operating loss excessive, and can be reduced through revenue enhancements and expenditure reductions. The LQ Golfers recommend: reducing the proposed management fee increase of 4% to the 2016 Los Angeles Consumer Price Index of 1.98%; reduce the marketing budget from $231,000 to $50,000, instead utilize social media and Silverrock’s tee time software system; reduce staff by five full-time employees and increase operations efficiency; raise the green fees as recommended by the Advisory Committee’s Report and the LQ Golfers; negotiate water rates reduction with CVWD to agricultural costs; immediately amend the resident tee time reservation system to seven days, starting at 5:00 a.m. advanced tee time; eliminate the existing golf card GPS system due to its inaccuracy and realize monthly savings of $4,700; utilize a consultant to ensure proper care of the lakes; and refer to the report provided to Council by the LQ Golfers dated March 2017. Council noted it would be more appropriate to consider an increase of the green fees after the golf course construction is completed; revenue enhancements are temporarily impaired due to the on-going golf course improvements and the temporary club house; the management fee increase of 4% is a contractual obligation and effective through the term of the agreement; negotiating water rate reduction with CVWD is not within the scope of the Silverrock Resort 2017/18 Annual Plan; Robert Green Company has already expressed support to create an Ad-hoc Golf Advisory Committee and the process is underway; the GPS discrepancy will be explored, but the system serves additional benefits as outlined by Mr. Duncan earlier; as of May 1 residents are able to book tee times starting at 5:00 a.m. daily. Council thanked Mr. Johnson for the comments and said the additional components will be considered at a future meeting. MOTION – A motion was made and seconded by Councilmembers Peña/Fitzpatrick to approve the Silverrock Resort 2017/18 Annual Plan as recommended and to add language requiring marketing collaboration between the Silverrock Resort, the future Montage hotel, and the City. Motion passed: ayes 4, absent 1 (Radi). CITY COUNCIL MINUTES Page 7 of 10 MAY 16, 2017 STUDY SESSION 1. pulled at applicant’s request >>> DISCUSS A REQUEST BY RIVERSIDE COUNTY FOR THE CITY TO TAKE OVER ABOUT 2,000 FEET OF LAKE CAHUILLA ROAD BETWEEN THE QUARRY DEVELOPMENT ENTRANCE AND LAKE CAHUILLA PARK MAYOR EVANS TOOK UP PUBLIC HEARING ITEM NO. 1 SCHEDULED FOR 5:00 P.M. PUBLIC HEARINGS (taken up at 5:05p) 1. HOLD PUBLIC HEARING ON REQUEST FOR A TWO-YEAR TIME EXTENSION FOR SITE DEVELOPMENT PERMIT 2016-0008 (SDP 2015-0004, LA PALOMA) FOR A 208-UNIT SENIOR LIVING COMMUNITY LOCATED AT THE NORTHEAST CORNER OF WASHINGTON STREET AND AVENUE 50 Planning Manager Perez presented the staff report, which is on file in the Clerk’s Office. MAYOR EVANS DECLARED THE PUBLIC HEARING OPEN AT 5:12 P.M. PUBLIC SPEAKER: Ms. Susan Dillman, La Quinta – introduced herself and said the proposed project was a very suitable development for the parcel and the residential community around it. She inquired if the applicant has the ability to increase the density or building height of the project to make it economically feasible due to the additional costs that will be incurred based on the Coachella Valley Water District’s (CVWD) requirements to line the storm water channel adjacent to the site with concrete. Staff replied La Quinta’s development standards remain in effect and to pursue such changes the applicant would have to amend the specific plan and current zoning designation for the parcel. PUBLIC SPEAKER: Mr. John Rimback, President of West Living, landowner and applicant, Carlsbad, California – introduced himself and said the applicant had never entered into any agreement to sell the property and always had the intention to develop the project. He provided details on the original project approval in 2004 and subsequent progress timeline and extensions; additional CVWD requirements in 2015 to line the storm water channel with concrete for flood control, which triggered further regulatory agencies approvals; and the cause for the delay due to CVWD’s pending drainage study expected to be completed in the next six months. Discussion followed regarding the “for sale” sign on the property in 2015 when the last extension was granted; the demand for senior housing in La Quinta; reasons for the project’s development delay; other senior housing, assisted living, and memory care projects in the City developed during the same period which are now operational; the importance of the City providing continuity of care facilities for its residents; the additional improvement requirements imposed by CVWD and the pending drainage study; the project’s financial stability and the inability to secure a loan based on a CITY COUNCIL MINUTES Page 8 of 10 MAY 16, 2017 temporary permit; the anticipated project’s development timeline; and amending the requested two year time extension to a more reasonable time period to allow the applicant to show progress. Mr. Rimback provided CVWD’s meeting minutes dated April 3, 2017, for the record, which provided information on the required flood wall elevation height. MAYOR EVANS DECLARED THE PUBLIC HEARING CLOSED AT 5:38 P.M. Councilmembers discussed the delay of the project; the pending CVWD drainage study; the challenge of securing financing with a temporary permit; and a reasonable time frame to extend the project. MAYOR EVANS RE-OPENED THE PUBLIC HEARING AT 5:44 P.M. MOTION – A motion was made and seconded by Councilmembers Fitzpatrick/Peña to continue Public Hearing Item No. 1 to the June 6, 2017 Council meeting and directed staff to prepare a resolution for Council’s consideration to approve a project time- extension for up to six months and to require the applicant to provide a progress update before the time extension lapses. Motion passed: ayes 4, absent 1 (Radi). MAYOR EVANS CALLED FOR A BRIEF RECESS AT 5:45 P.M. MAYOR EVANS RECONVENED THE COUNCIL MEETING AT 5:54 P.M. WITH ALL MEMBERS PRESENT EXCEPT COUNCILMEMBER RADI STUDY SESSION - Continued 2. FISCAL YEAR 2017/18 PROPOSED BUDGET Finance Director Campos and Community Resources Director Escobedo presented the staff report, which is on file in the Clerk’s Office. Councilmembers discussed in detail the three available options to reduce the rising police services costs. Council concurred with Options 1 and 2, and parts of Option 3, and directed staff to proceed with: switching the Special Enforcement Team to non- dedicated status; reducing Special Enforcement Fund by $50,000; reducing the funding for School Resource Officers from 1.5 to 0.5 for Desert Sands Unified School District; and freezing the vacant Special Enforcement Team Officer position. Council requested that staff provide an update on police hours at the June 6, 2017, meeting; and the cost for training volunteer reserve deputies through the Riverside Sheriff’s Department’s academy. CITY COUNCIL MINUTES Page 9 of 10 MAY 16, 2017 Councilmembers further discussed the reduced projected deficit; the unfunded community events and marketing items; Bear Creek Trail annual maintenance costs; Library and Museum AV upgrades; and Museum events and exhibits improvements. Council expressed support of the proposed marketing; community programs and activities; and Brew in LQ expansion items; and requested that staff provide a profit and loss statement from the Art on Main Street event; and the Museum’s existing funding and event allocations, before these two items could be considered. Councilmembers discussed tasking the Financial Advisory Commission to review and advise Council on reducing the deposits of the emergency reserves and establishing a police reserve account. Councilmembers discussed records management staffing requests and processes; prevailing wage; upcoming state legislature that will further affect the City’s ability to use contract services; CalPERS retirement liability; and importance of succession planning. Council expressed support of the records management staffing request. DEPARTMENTAL REPORTS All reports are on file in the City Clerk’s Office. City Manager Spevacek reported the following items:  The Silverrock golf-related items will be scheduled as a Study Session item for the June 20, 2017 Council meeting.  Staff will schedule a Special Joint Meeting of the City Council with the City’s Boards and Commissions for July 18, 2017, to discuss protocol, mission, and work programs.  Council will present Design and Development Director Tim Jonasson with a retirement proclamation at the June 6, 2017, Council meeting. MAYOR’S AND COUNCIL MEMBERS’ ITEMS Councilmember Sanchez commended Roy Grace, Chief of Police, and Lieutenant David Walton, Assistant Chief of Police for their creativity and cooperation in working with staff to achieve savings on the City’s agreement with the Riverside Sheriff’s Department for the 2017/18 fiscal year. Mayor Evans reported on her attendance of the La Quinta High School Summer Social fundraising event on May 13, 2017, and the school’s recognition of their partnership with the City. Councilmember Fitzpatrick report on her attendance of the Southern California Association of Governments 2017 Regional Conference and General Assembly, May 4-5, 2017, at the JW Marriott in Palm Desert. CITY COUNCIL MINUTES Page 10 of 10 MAY 16, 2017 REPORTS AND INFORMATIONAL ITEMS La Quinta’s representative for 2017, Mayor Evans reported on her participation in the following organizations meeting:  CVAG COACHELLA VALLEY CONSERVATION COMMISSION  CVAG ENERGY AND ENVIRONMENTAL RESOURCES COMMITTEE  CVAG EXECUTIVE COMMITTEE  GREATER PALM SPRINGS CONVENTION AND VISITORS BUREAU  ECONOMIC DEVELOPMENT SUBCOMMITTEE La Quinta’s representative for 2017, Councilmember Fitzpatrick reported on her participation in the following organization meeting:  COACHELLA VALLEY MOUNTAINS CONSERVANCY  DESERT RECREATION DISTRICT COMMITTEE (Fitzpatrick & Radi) La Quinta’s representative for 2017, Councilmember Peña reported on his participation in the following organization meeting:  CVAG PUBLIC SAFETY COMMITTEE  CVAG VALLEY-WIDE HOMELESSNESS COMMITTEE ADJOURNMENT There being no further business, a motion was made and seconded by Councilmembers Peña/Fitzpatrick to adjourn at 7:21 p.m. Motion passed: ayes 4, absent 1 (Radi). Respectfully submitted, MONIKA RADEVA, Deputy City Clerk City of La Quinta, California