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2003 02 18 CC Minutes LA QUINTA CITY COUNCIL '-- MINUTES FEBRUARY 18, 2003 A regular meeting of the La Quinta City Council was called to order at the hour of 2:00 p.m. by Mayor Adolph. PRESENT: Council Members Henderson, Osborne, Perkins, Sniff, Mayor Adolph ABSENT: None PUBLIC COMMENT - None CLOSED SESSION 1. Conference with City's legal counsel pursuant to Government Code Section 54956.9(b) concerning pending litigation, Jensen's Complete Shopping, Inc. vs. City of La Quinta, Riverside Superior Court, Indio, Case No. INC 033597. .,... Council recessed to Redevelopment Agency and to Closed Session to and until the ~ hour of 3:00 p.m. 3:00 P.M. Mayor Adolph led the audience in the Pledge of Allegiance. PUBLIC COMMENT Carol Ramirez, 78-665 Sanita Drive, thanked Council for the recent grant approval to La Quinta High School Career Center for the Career Days event. CONFIRMATION OF AGENDA City Manager Genovese requested Business Item No. 6 be taken up after the Study Session. He also advised of a correction in the title of Consent Item No. 10 changing 2002-15A to 2000-1 SA. . -'- Council Member Osborne requested Consent Item No. 5 be moved to Business Item No. 7. City Council Minutes 2 February 15, 2003 ANNOUNCEMENTS - None PRESENTATIONS - None WRITTEN CORRESPONDENCE - None APPROVAL OF MINUTES MOTION - It was moved by Council Members Sniff/Henderson to approve the City Council Minutes of February 4, 2003, as submitted. Motion carried unanimously. CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED FEBRUARY 18, 2003. 2. TREASURER'S REPORT FOR THE PERIOD ENDING DECEMBER 31, 2002. 3. REVENUE & EXPENDITURES REPORT FOR THE PERIOD ENDING DECEMBER 31, 2002. 4. DENIAL OF CLAIM FOR DAMAGES FILED BY JONATHAN YSLAS - DATE OF LOSS: JUNE 4, 2002. 5. SEE BUSINESS SESSION ITEM NO. 7. 6. APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT WITH SOUTHLAND GEOTECHNICAL FOR TESTING AND INSPECTION SERVICES FOR THE CITY'S THIRD FIRE STATION (NO. 93) PROJECT NO. 2001-14. 7. ACCEPTANCE OF IMPROVEMENTS ASSOCIATED WITH TRACT 24890-1, THE CITRUS, CAPITAL PACIFIC HOMES, INC. 8. ACCEPTANCE OF IMPROVEMENTS ASSOCIATED WITH TRACT 24890-2, THE CITRUS, CAPITAL PACIFIC HOMES, INC. 9. APPROVAL OF A REQUEST FOR QUALIFICATIONS TO OBTAIN PROFESSIONAL ENGINEERING SERVICES FOR THE EISENHOWER DRIVE BRIDGE AND DRAINAGE IMPROVEMENTS, PROJECT NO. 2001-06 AND APPOINTMENT OF A CONSULTANT SELECTION COMMITTEE. City Council Minutes 3 February 18, 2003 10. APPROVAL OF PLANS, SPECIFICATIONS, AND ENGINEER'S ESTIMATE AND AUTHORIZATION TO ADVERTISE FOR BIDS THE PHASE II FRITZ BURNS PARK COURT IMPROVEMENTS, PROJECT NO. 2000-15A. 11. ADOPTION OF A RESOLUTION URGING THE CALIFORNIA LEGISLATURE TO REJECT THE GOVERNOR'S PROPOSED SHIFT OF LOCAL VEHICLE IN LIEU FEES (VLF) REVENUES AND TO HONOR THE 1998 COMMITMENT TO RESTORE THE VLF. (RESOLUTION NO. 2003-012) 12. ACCEPTANCE OF MONTERO ESTATES SOUND WALL IMPROVEMENTS, PROJECT NO. 2000-12. 13. APPROVAL OF SETTLEMENT AGREEMENT WITH KORVE ENGINEERING, INC. 14. APPROVAL TO SUBMIT A GRANT APPLICATION TO THE TONY HAWK FOUNDATION FOR THE FRITZ BURNS SKATE PARK. MOTION -It was moved by Council Members Sniff/Henderson to approve the Consent Calendar as recommended and amended with the exception of Item No. 5 and with Item No. 11 being approved by RESOLUTION NO. 2003-012. Motion carried unanimously. MINUTE ORDER NO. 2003-15. BUSINESS SESSION 1. CONSIDERATION OF AWARD OF CONTRACT TO CONSTRUCT THE CITY'S THIRD FIRE STATION (NO. 93), PROJECT NO. 2001-14. Building & Safety Director Hartung presented the staff report. In response to Council Member Perkins, Mr. Hartung confirmed the cost of the fire engine was included in the original estimate, and equipment costs are included in the bid, with the exception of some minor furnishings. In response to Mayor Adolph, Mr. Hartung stated the cost of a ladder truck is almost double the cost of a regular fire engine. Mayor Adolph voiced concern about not being able to reach the fourth floor of the Embassy Suites hotel when it is built. Mr. Hartung commented there has been some preliminary discussion with Indio and the County about sharing the cost of a ladder truck because there is a need in the east end of the Valley. City Council Minutes 4 February 18, 2003 Council Member Perkins asked if the facility would accommodate a ladder truck and fire engine, to which Mr. Hartung responded, "yes." Council Member Henderson noted the contract includes a significant number of improvements to the area, including the widening of Adams Street, lowering of the well site, and block wall amenities. Mr. Hartung clarified the well site will not be lowered but will include planter walls with decorative gates. Council Member Sniff asked if there is any expectation of doing substantially better if the project is sent out to bid again, to which Mr. Hartung responded he didn't believe so unless some drastic changes are made to the design. John McLaughlin, 44-405 Willow Circle, stated the Cove Communities ladder truck cost approximately $650,000, and the costs have increased since then. It also takes about a year to get a ladder truck once it is ordered. He urged Council to move forward with the facility as soon as possible, and to include the additional staffing proposed under Measure M as top priority. MOTION -It was moved by Council Members Sniff/Osborne to draw down on the County Fire Trust Fund in the amount of $737,274 and award a contract in the amount of $2,684,000 to DKS Contracting and Engineering for the construction of La Quinta Fire Station No. 93, Project No. 2001-14, contingent upon the City Council and Redevelopment Agency approval of the necessary Financing Agreement. Motion carried unanimously. MINUTE ORDER NO. 2003-16. 2. CONSIDERATION OF MID-YEAR BUDGET REPORT AND FINANCIAL MANAGEMENT REVIEW FOR FISCAL YEAR 2002/2003. In presenting the staff report, Finance Director Falconer advised the City's share this year of the Educational Revenue Augmentation Fund (ERAF) charged by the State is $723,550, which is approximately 1% of the total for the State. The amount of the Pass-Thru monies the City is required to pay to the County is approximately $2.8 million. Staff is requesting an increase in appropriations of 9668,000. He noted the four major categories of the General Fund revenues are exceeding budget estimates and expenditures are projected to be within budget estimates. Mike Harrison, of Conrad & Associates, reviewed the methodology used by staff to project the General Fund over the next four years, and noted the projected City Council Minutes 5 February 18, 2003 General Fund balance at the end of this fiscal year will be close to where it was at the beginning of the fiscal year. However, the liquidity will not be as good based on previous actions such as loans to the Redevelopment Agency. In response to Council Member Osborne, Mr. Falconer confirmed the additional appropriations are included in the budget but anticipated revenue increases are not included. City Manager Genovese noted the majority of the requested appropriations are service-direct oriented. In response to Mayor Adolph, Mr. Falconer reviewed the year-end estimated revenues on Page 72 versus the budgeted amounts. In response to Council Member Osborne, Mr. Falconer stated the projected expenditures, including the new requested appropriations, are slightly under $1 2,000 of the budgeted amount, resulting in an increase to the General Fund of $7,200. Mr. Genovese commented on the financial challenges the City will be facing due to the State budget crisis, dropping interest rates, and increased service costs by the Sheriff's Office. He stated the State's attempt to balance its budget by unbalancing the cities' budgets could result in a loss to La Quinta of $5.2 million -- $4 million from the Redevelopment Agency and $1.2 million in VLF fees. Additionally, due to changes in interest rates, the cost of police services is expected to increase 10-12% next year without any increase to the current level of police services. The increase is directly related to the Sheriff's CalPERS retirement account, which in turn relates back to the national economy and decline in interest rates. He then reviewed staff's recommendations listed in the staff report. He stated The Ranch project is a "must-build" project in order for the City to derive new revenues and be able to continue providing quality services to the community. He noted the report shows over the next five years that the General Fund reserves start to deplete due to increases in operating costs. Consultant Frank Spevacek presented a summary of staff's analysis of long- term build out. He stated the estimated amount of General Fund revenues at that time is $88.6 million and expenditures $107.6 million, based on revenue increases of 2% a year, expenditures at 3%, and police services at 5%. He noted police and fire services, street, median, and public open space costs are expected to consume approximately 70% of the General Fund budget at build out. In addition to pursuing commercial and hospitality businesses as the City City Council Minutes 6 February 18, 2003 grows, there may be a need to consider additional revenue sources or fees and determine if the same service levels need to be maintained. In response to Council Member Osborne, Mr. Genovese stated the current five- year forecast does not include an increase for additional fire services or paramedics. Council Member Sniff referenced the current turmoil in the world, and asked if the unexpected has been taken into account in the long-term, build-out projections. Mr. Spevacek stated the principal concern would be that the City would not be able to build out the commercial or hotel square footage. Council Member Sniff noted water shortage can affect both residential and commercial growth. Mr. Genovese referenced land-use decisions made by PGA West and Rancho La Quinta that led the City to undertake The Ranch project. He noted the forecast provides a road map to make sure careful consideration is given before down-zoning any commercial or tourist commercial properties because they are needed for the City to be financially successful. Council Member Henderson pointed out the $240,000 increase in TOT is better than what was expected when the budget was adopted. She further noted all of the cities are pursuing new hotels and making it extremely difficult to capture the market, which may result in the need to provide another reason besides golf for people to come to La Quinta. She commented on the need to consider maintenance costs when approving new City facilities, and noted the Lighting and Landscape Assessment District cost is upside down by approximately $800,000. She pointed out 66% of the residents voted to support a fire tax to fund additional fire services but some of the residents doubted the Council would be sincere in their consideration of the allowable 3% increase each year. She feels the Council's prior reduction of the Lighting and Landscape District assessment proves differently. Council Member Perkins asked if the loan to the Redevelopment Agency would generate interest for the General Fund, to which Mr. Genovese responded, "yes." Council Member Perkins stated he believes at some point the City will have to provide the level of fire services the residents deserve and the vast majority wants. He noted some areas have a minimum of four firemen per fire station, City Council Minutes 7 February 18, 2003 , and that the County recently increased the Mecca fire station to three firemen with a paramedic unit. He feels the City should pursue the same possibility with the County for the La Quinta fire stations. He wished to see some consideration during the next budget process of adding a third motor officer and increasing the amount put into the Police and Firemen's Survivor Fund each year to $5,000. In response to Council Member Henderson, Mr. Falconer advised the employee rate for CalPERS is a fixed amount each year, and the City currently doesn't have to pay anything for the employer rate, due to a surplus. He stated the estimated percentage for the employer rate next year is 1.2% and 3-4% the following year. Council Member Henderson stated she understands one of the cities got hit with a $2 million increase. Mr. Falconer estimated the City's cost next year at $50,000-$60,000. Mr. Genovese stated the increases for the Sheriff's contract are likely to affect State employees as well, such as the California Fire Department, which provides -- fire services to the County and in turn provides services to the City. Council Member Perkins commented on the possibility of the City placing a cap on how much of the employee's amount the City will pay. In response to Council Member Henderson, Mr. Falconer confirmed Council directed staff to place $2,000 a year for five years in the Police and Firemen's Survivors Fund. He stated the projected fund balance, including interest, at the end of this year is $16,200. Council Member Sniff stated he supports staff bringing the Police and Firemen's Survivor's Fund back to Council to consider potential continuation. He complimented staff on the report, and stated he feels the City will have to work above and beyond in order to enhance the City's revenues with the least direct tax impact possible on the residents. He feels the City may be compelled to tailor a new effort to cover some of the shortfalls in the lighting and landscaping, as well as fire, paramedic, and police services. He believes public safety is always top priority but has to be based on sufficient revenues. He feels recognition of the long-term challenges ahead is first and dealing with it effectively is second. He supports moving expeditiously and with significant --- ability to deal with The Ranch and other potential revenue-enhancing projects. City Council Minutes 8 February 18, 2003 Mayor Adolph stated he appreciates the 30-year forecast but is more concerned about what is happening today and what can be done to satisfy the needs. He doesn't want to get into the emergency reserves nor deplete the General Fund to the point that it creates problems in the future. MOTION -It was moved by Council Members Henderson/Perkins to approve the new appropriations as outlined in Attachment No. 2 totaling $668,027 from the General Fund, $23,725 from the Equipment Replacement Fund, $22,300 from the Information Technology Fund, $1,955,217 from the RDA Project Area No. 1 Fund, $1,555,052 from the RDA Project Area No. 2 Fund, and approve an increase in estimated revenues for the RDA Project Area No. 1 and 2 totaling $4,932,800. Motion carried unanimously. MINUTE ORDER NO. 2003-17. MOTION - It was moved by Council Members Sniff/Perkins to receive and file the Mid-Year Budget Report. Motion carried unanimously. MINUTE ORDER NO. 2003-18. 3. CONSIDERATION OF APPOINTMENT OF TWO CITY COUNCIL MEMBERS TO SERVE ON THE CIVIC CENTER ART PURCHASE COMMITTEE. Community Services Director Horvitz presented the staff report. MOTION -It was moved by Council Members Sniff/Perkins to appoint Council Member Osborne and Mayor Adolph to serve on the Civic Center Art Purchase Committee, and authorize spending up to $5,991. Motion carried unanimously. MINUTE ORDER NO. 2003-19. 4. CONSIDERATION OF PARTICIPATION IN THE DESERT SENIOR INSPIRATION AWARDS PROGRAM. Community Services Director Horvitz presented the staff report. MOTION - It was moved by Council Members Sniff/Henderson to approve the City's participation in the "Desert Senior Inspiration Awards" program and the selection of Jacques Abel as the City's nominee for the program. Motion carried unanimously. MINUTE ORDER NO. 2003-20. 5. CONSIDERATION OF A REQUEST BY TRANS WEST HOUSING, INC. FOR THE CITY TO ACCEPT HILLSIDE PROPERTY AND TRAIL ACCESS AND LIABILITY IN COMPLIANCE WITH CONDITION NO. 76 OF TENTATIVE TRACT 29436. Council Member Perkins abstained due to a potential conflict of interest and left the dais. City Council Minutes 9 February 18, 2003 In response to Council Member Henderson, City Attorney Jenson stated the trail is within 500 feet of a Laguna de la Paz common area, which Mr. Perkins is part owner. She explained if a Council Member holds property interest valued at $2,000 or more it is considered an interest in real property, and if a project is within 500 feet there is a presumption that the property is materially impacted by the decision. She added the presumption can be overridden with a letter from a real estate professional stating that the project has no impact on the Council Member's property interest. She stated she would provide Council with a copy of a memo she sent to the Planning Commission on this subject. Community Development Director Herman presented the staff report. Council Member Sniff stated C. V. Mountains Conservancy has looked at this twice, and has determined that it has no desire to take the property and maintain it. He commented on the potential visual intrusion into resident's backyards, and stated he is not sure the trail has great intrinsic value to the City. He suggested letting it go and letting the developer deal with it by providing permanent open space. In response to Mayor Adolph, Mr. Herman stated if the property is designated as permanent open space it will be deed restricted and cannot be developed. It will also not be open for public access to the current trail unless the developer allows trespassing on his property. Should the developer at a later date decide to give the deed-restricted property to Mountains Conservancy, they may take it. Council Member Henderson asked if maintenance is involved with any of the land purchased by the Mountains Conservancy, to which Council Member Sniff responded, "not to his knowledge." Geoff McComic, 9968 Hibert Street, San Diego, Vice President of Trans West Housing, stated they will continue to look at options in the future to get this into the hands of someone who is willing to do the trails and maintain them. He understood this trail doesn't fit with what the Mountains Conservancy is looking for. Council Member Sniff noted the Mountains Conservancy might be interested in the mountain property without the trail. Council Member Henderson noted the City tries to preserve trails but this is a ~ ...... difficult site. City Council Minutes 10 February 18, 2003 MOTION - It was moved by Council Members Sniff/Henderson to direct staff to prepare a letter declining the offer to accept the hillside lands (adjacent to Tract 29436 - Trans West Housing) and the trail access and liability for the trail and hillside. Motion carried with Council Member Perkins ABSENT. MINUTE ORDER NO. 2003-21. Note - See Business Item No. 6 after the Study Session. 7. CONSIDERATION OF APPROVAL OF A FINANCING AGREEMENT BETWEEN THE LA QUINTA REDEVELOPMENT AGENCY AND THE CITY OF LA QUINTA FOR CONSTRUCTION AND EQUIPMENT FOR THE CITY'S THIRD FIRE STATION (NO. 93) AND ADOPTION OF A RESOLUTION MAKING FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 33445. (This item was moved from the Consent Calendar.) There were no changes to the staff report as submitted and on file in the City Clerk's Office. In response to Council Member Osborne, Building & Safety Director Hartung confirmed the loan is necessary to cover the increased cost of the fire station. Finance Director Falconer stated the money will go from the Redevelopment Agency to the Fire Developer Impact Fee Fund, and will not involve a loan between the General Fund and Redevelopment Agency. RESOLUTION NO. 2003-013 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, MAKING CERTAIN FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 33445(a). It was moved by Council Members Sniff/Osborne to adopt Resolution No. 2003-013 as submitted. Motion carried unanimously. STUDY SESSION 1. DISCUSSION OF SHADE STRUCTURES AND OTHER RELATED USES IN THE FRONT/SIDE YARD SETBACK. Community Development Director Herman presented the staff report. City Council Minutes 11 February 18, 2003 In response to Council Membe~H~elerson, Mr. Herman stated a front-yard patio would not be allowed if the main building is. at the minimum setback of 20 feet. He stated the front yard is always determined to be the same as their neighbor to the north or south. He stated properties on streets running north and south streets have a 20-foot setback, and the streets running east and west have a 10-foot setback. He explained the purpose is to keep the frontage uniform. In response to Mayor Adolph, Mr. Herman confirmed the setback for garages is 20 feet. He stated he didn't know if the County enforced a 20-foot setback requirement prior to the City's incorporation. He noted special residential standards for the Cove were adopted by the City in 1986. Any structure built within the setback area prior to incorporation was grand-fathered in. Mayor Adolph asked about the setback requirements for cantilever structures/retractable awnings. Building & Safety Director Hartung advised cantilever structures must be at least 30 inches from the rear property line, and the supports have to be within the normal setback area. -- Mr. Herman stated the City has no standards to deal with retractable awnings. He then reviewed shade structure requirements in other Valley cities as follows: Cathedral City - not allowed; Coachella - no code requirements; Indian Wells, Indio, and County - prohibited in front yards; Palm Desert - allowed only in backyards per setback requirements; Palm Springs - must meet setback requirements and nothing is allowed near property line; and Rancho Mirage - must be compatible with dwelling. In response to Council Member Perkins, Mr. Herman confirmed residents can park in front of the garage but cannot put a structure over the vehicle(s). He noted it would add to a street parking problem if vehicles were not allowed to park in driveways. Council Member Sniff noted there are a lot of issues here, and suggested reducing it down to the elemental issue and try to get it solved. He is not sure the Council is interested in doing it. Council Member Henderson commented on the number of shade structures in the City, and voiced concern that banning them will result in a large protest by the residents. She was inclined to suggest that a committee be appointed to --- look at the issue but wasn't sure there was support for that. She feels the Council knows what is right on difficult issues such as this but the Council tries to accommodate the need, which results in Council getting into trouble. She City Council Minutes 12 February 18, 2003 is willing to support a single design with a standard but also doesn't want to create additional code enforcement problems. Council Member Sniff stated he feels shade structures are appropriate over driveways if they are uniform in color, material, size, height, location, and properly installed with a permit and maintained. Mayor Adolph noted the location of the columns should also be addressed in the standards. Council Member Sniff stated he feels the shade structure at the Turner's residence is reasonably attractive. Council Member Henderson stated she could not agree with that, and asked if this standard would apply only to the Cove area. She noted the Sagebrush/Saguaro area has 50-foot wide lots, and asked if the Cove special residential standards apply to that area, to which Mr. Herman responded, "no." She noted the RV parking standard was applied to that area, and asked if Council would need to specify that area as well if it wants this standard to apply there, to which Mr. Herman replied, "yes." Mayor Adolph asked if the standard would apply specifically to 50-foot wide lots. Mr. Herman noted some of the lots have been merged, and the standard would have to be applied by physical area or zone. He pointed out the presence of propane tanks could have an effect on the issue. Council Member Osborne commented on the difficulty of setting the standards, and voiced concern that shade structures may affect property values in the Cove. Council Member Perkins stated he would not want awnings almost to the curb if he lived in the Cove. He believes blue would be the worst color here in the desert, and doesn't feel the City should decide the color if this is approved. He has concerns about encroaching into the side yard and front yard setbacks, and is satisfied that the current ordinance should be retained and the existing shade structures removed. Scotty Bohlman, 77-564 Country Club Drive, Palm Desert, of Shade Structures, agreed there should be standards, and stated their shade structures are used in the City's parks and at the schools. He stated they have a lot of colors to select from, and their structures withstand 80-1 O0 mph winds. He commented City Council Minutes 13 February 1 8, 2003 on the benefit of shade structures reducing temperatures. He stated the posts are galvanized steel and powder-coated. A standard two-car carport costs approximately 93,000. Council Member Perkins stated he still doesn't feel they belong in the front yard. Council Member Henderson asked if window coverings are permitted to extend into the setback area. She understood the concern about how shade structures look in the front yard but noted a lot of residents have to look at their neighbor's RV, and she wasn't sure how to reconcile the presence of RVs and not allow shade structures. Council Member Perkins stated he doesn't want to compound the problem. Mr. Herman advised a window canopy may encroach a maximum of two feet into any yard provided it is no closer than three and a half feet from the property line. Council Member Osborne asked how often the City receives requests to put these shade structures up and how many citations are issued. Mr. Hartung stated residents put up the shade structures without asking, and the City is currently looking at 20-25 such structures pending a decision on this issue. Council Member Henderson noted it is a growing issue, and as p~ople see them in the community they use PVC or whatever to put one up on their property. Council Member Sniff stated he would like to have standards drafted and brought back to Council for consideration. Council Member Perkins stated he could not support that. Council Member Henderson voiced concern about not allowing citizens to install shade structures when the City has installed them. Mayor Adolph noted the restriction applies only to shade structures in the front yard. Council Member Henderson agreed but pointed out vehicles are only parked in ~' .... the front yard. Her intent at this point for a driveway shade structure would be a wood trellis because she feels it would be too difficult to set standards for ~ anything else. City Council Minutes 14 February 1 8, 2003 Council Member Sniff noted wood is a big ponderous structure and the fabric structures are light and airy. He feels if there is no effort to accommodate the shade structures that currently exist, the residents will complain. Because it is so hot here in the summer, he feels the City should try to accommodate them. Council Member Osborne stated he doesn't want to try to create a standard for shade structures in the Cove and would like to hear what the Cove Association has to say. Council Member Perkins noted the City's shade structures are not on the property line. Council Member Osborne stated he is in agreement with staying with the current regulations. Mayor Adolph noted there is insufficient support for changing the standards. BUSINESS SESSION ........... continued 6. CONTINUED CONSIDERATION OF AN APPEAL OF A PLANNING COMMISSION DECISION ON A PUBLIC NUISANCE CITATION REGARDING THE VIOLATION OF FRONT/SIDE YARD SETBACK, SATELLITE DISH LOCATION, AND CONSTRUCTION WITHOUT A PERMIT AT 53-750 AVENIDA OBREGON. APPELLANT: BILL AND JAN TURNER. Community Development Director Herman presented the staff report. MOTION - It was moved by Council Members Henderson/Perkins to uphold the Planning Commission's decision and deny the appeal by Bill and Jan Turner. Motion carried with Council Members Henderson and Sniff voting NO. MINUTE ORDER NO. 2003-22. REPORTS AND INFORMATIONAL ITEMS C. V. Mosquito & Vector Control District -- Council Member Perkins referenced an unsigned letter regarding a union attempt to include 17 fire ant program workers in the union. He stated the workers were hired under a State grant and were told the temporary positions would end if State funding did not continue. The District is opposed to the action because it could result in regular employee positions being laid off prior to fire ant program employees being laid off. He feels the District is getting large enough that it may need an assistant manager. City Council Minutes 15 February 18, 2003 Desert Resorts Regional Airport A0thority':-,,, Council Member Osborne reminded everyone about the grand opening at the airport on April 26th from 4:00 to 7:00 p.m. Palm Springs Desert Resorts Convention & Visitor's Authority -- Council Member Henderson reported the Board has approved a design for the new facility that will now be submitted to the City of Rancho Mirage for design approval. Riverside County Transportation Commission -- Council Member Henderson reported the Commission has approved widening improvements to I-15 and I-215. All other reports were noted and filed. DEPARTMENT REPORTS - None MAYOR AND COUNCIL MEMBERS' ITEMS - None Council recessed to and until 7:00 p.m. 7:00 P.M. The City Council meeting reconvened with no decisions being made in Closed Session which require reporting pursuant to Section 54957.1 of the Government Code (Brown Act),. PUBLIC COMMENT- None PRESENTATIONS - None City Council Minutes 16 February 18, 2003 PUBLIC HEARINGS 1. PUBLIC HEARING ON A RESOLUTION OF NECESSITY UNDER CODE OF CIVIL PROCEDURE SECTION 1245.235 DECLARING THE PUBLIC INTEREST AND NECESSITY OF ACQUISITION OF PROPERTY LOCATED NORTH OF HIGHWAY 111 AND EAST OF ADAMS STREET AND IDENTIFIED AS A PORTION OF APN 649-020-006, FOR THE PURPOSES OF ROADWAY IMPROVEMENTS - THE EXTENSION OF LA QUINTA DRIVE. The Mayor declared the PUBLIC HEARING OPEN at 7:00 p.m. City Attorney Jenson noted for the record that a leasehold interest by Council Member Osborne on Corporate Center Drive is over 1,000 feet from the subject area. He has, however, provided a letter from La Quinta Palms Realty giving an opinion that there is no effect in any of the specified areas with regard to the potential acquisition. She concurs with the opinion and has advised Council Member Osborne that he has no conflict of interest. Public Works Director Jonasson presented the staff report. Bob Ross, of RBF Consulting Engineers, reviewed the description of the turning movements from the traffic report as it relates to the level of service that will take place with or without the improvements. In response to Council Member Perkins, Mr. Ross stated the length of the single left-turn lane stacking area will be approximately 300 feet. In response to Council Member Osborne, Mr. Ross confirmed this will improve the level of service at Adams Street, Dune Palms Road, and La Quinta Drive. David Cosgrove, legal counsel with Rutan and Tucker, reviewed the findings of the engineering analysis. In response to Council Member Perkins, Mr. Jonasson confirmed this will not change the number of lanes on Highway 111, and that U-turns and left turns from westbound traffic and traffic on Adams Street is reducing the level of service to E or worse. Mayor Adolph asked if the responsibility for this lies completely with the City or will be shared with CalTrans. He also asked who would be responsible for the construction. City Council Minutes 17 February 18, 2003 Mr. Jonasson stated approximately 13,000 sq. ft. of the new roadway area will be the City's responsibility but the actual improvements will be constructed by a developer and dedicated back to the City. Mr. Ross explained any future dedications will depend on whether or not future extensions are a condition of development. In response to Mayor Adolph, Ms. Jenson advised Attachment 6 focuses only on the extension, and is not intended to show what is necessary on Highway 111 to make the intersection functional. Council Member Osborne asked if any development has been pruposed for that property, to which Mr. Jonasson responded, "no." Council Member Henderson stated she understood the actual dollars for the acquisition will be paid by 111 Venture, and Mr. Jonasson confirmed that is correct. Larry Lyle, 40-520 Posada Court, Palm Desert, of Lyle Commercial and representing the proposed La Quinta Pavilions Shopping Center, urged approval of the resolution. Greg Oleson, 1800 E. Tahquitz Canyon Way, Palm Springs, questioned sufficient information being provided on development of the site for Council to approve the proposed resolution of necessity. He stated the proposal is to go 1 98 feet into his client's property, and questioned why the street is not being extended to Industrial Road. He didn't feel the conclusions of the engineering analysis are supported by facts. In disagreement with the staff report, he noted the analysis doesn't state La Quinta Drive is the "only" reasonable location for a signalized/full-turn movement intersection but rather the "most" reasonable location, and it also does not conclude that this is the only way to resolve the traffic issue. As for the statement in the staff report that "the project will result in no frustration of reasonable expectations of development of property," he stated his client believes he will lose one building pad as a result of the proposed condemnation. He also questioned the fair market value of the property that is listed in the appraisal. Steve Lyle, 121 S. Palm Canyon, Palm Springs, of Lyle Commercial, stated the Pavilions Shopping Center will be a high-end development with exciting tenants. He stated left-turn in/left-turn out egress is critical to this development, and questioned a building pad being affected by the intersection. He urged Council to approve the resolution of necessity to avoid losing the Pavilions development. City Council Minutes 18 February 18, 2003 Scott Gaynor, 327 E. 18th Street, Costa Mesa, of 111 Venture LLC, thanked the City for its effort to extend La Quinta Drive. He noted it's common in development of large areas for neighboring property owners to share some costs. However, La Quinta Corporate Center has paid 100% of the cost (over $700,000) to bring utilities to the site, provide a well site, and construct roads that service the cul-de-sacs abutting the Mannino property, and when a development proposal for the Mannino property is submitted, the balance of proper planning related to their roads and utilities should be done. He referenced a cost sharing arrangement between the City, La Quinta Corporate Center, Stamko Development, and the Mannino property for the traffic signal at La Quinta Drive, and noted the Mannino property willingly granted an easement into their property for the extension of La Quinta Drive due to an obvious benefit to their property. He urged Council to approve this crucial aspect of ensuring beneficial and safe traffic patterns at the intersection. There being no other requests to speak, the Mayor declared the PUBLIC HEARING CLOSED at 7:39 p.m. Council Member Henderson stated she feels disapproving this will lead to the future potential of trying to solve access somewhere else with another traffic signal. She feels this is a significant part of the City's planning process for Highway 111 and supports moving forward. Council Member Perkins agreed this is a necessary action, and is not seriously concerned about the road only going a short distance. He feels extending the road any further may defeat the purpose of the developer. Council Member Osborne stated he feels this project is in the public's best interest and provides for safer travel on Highway 111. He asked if a Loss of Business Goodwill claim has been filed. Mr. Cosgrove responded no such claim has been received, and due to no business operating on the property, it would be unusual to receive such a claim. He added if eminent domain proceedings are filed, the property owner will have an opportunity to file a Loss of Business Goodwill claim, which could then be tested through discovery. Council Member Sniff stated he believes the City has done its due diligence and he supports moving forward with the resolution. Mayor Adolph asked if there is any feasibility that a request for an additional cross street between Adams Street and Dune Palms Road would be submitted and/or approved. City Council Minutes 19 February 18, 2003 Mr. Jonasson stated La Quinta Drive is the mid point between Adams Street and Dune Palms Road, and it's the only signalized intersection between those two points that CalTrans would allow. Mayor Adolph concurred with moving forward with the proposal. RESOLUTION NO. 2003-014 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, DECLARING THE PUBLIC INTEREST AND NECESSITY OF ACQUISITION OF PROPERTY LOCATED IN THE CITY OF LA QUINTA, CALIFORNIA, IDENTIFIED AS PORTIONS OF ASSESSOR PARCEL NO. 649-020- 006, FOR THE PURPOSES OF ROADWAY IMPROVEMENTS TO LA QUINTA DRIVE. It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2003-014 as submitted. Motion carried unanimously. ADJOURNMENT There being no further business, it was moved by Council Members Sniff/Henderson to adjourn. Motion carried unanimously. Respectfully~ s~.ed,.~ JUNE S. GREEK, City Clerk City of La Quinta, California