2004 11 29 CC Minutes
LA QUINTA CITY COUNCIL
;-- SPECIAL MEETING
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! MINUTES
NOVEMBER 29, 2004
A special meeting of the La Quinta City Council was called to order at the hour of
2:90 p.m. by Mayor Adolph.
PRESENT: Council Members: Henderson, Osborne, Perkins, Sniff, Mayor Adolph
ABSENT: None
Mayor Adolph led the. audience in the Pledge of Allegiance.
PUBLIC COMMENT - None
CLOSED SESSION - None
~ CONFIRMATION OF AGENDA -Confirmed
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PRESENTATIONS - None
WRITTEN COMMUNICATIONS - None
APPROVAL OF MINUTES - None
CONSENT CALENDAR - None
BUSINESS SESSION
1. CONSIDERATION OF DISBURSEMENT OF FUNDS FOR PRE-OPENING
EXPENSES PURSUANT TO THE STARTUP AND ANNUAL BUSINESS PLAN
FOR SilverRock RESORT.
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Assistant City Manager Mark Weiss presented the staff report.
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Special Meeting Minutes
Council Member Sniff asked if the staff anticipates this happening again?
Assistant City Manager Weiss stated he did not anticipate this happening
again but there is a contingency award within the approved contract that
would require staff to come back for approval from the City Council. If there
were to be un-anticipated occurrences during the year, that were not part of
the approved Startup and Annual Business Plan there is a provision that
would allow Landmark to request additional reimbursements with the City
Council's approval.
Council Member Osborne asked if this is a blanket authorization to permit
reimbursement, within the budget, for pre-opening expenses.
Mr. Weiss stated there is a specific document that was approved in July
which would permit reimbursements pursuant to that document.
Council Member Osborne asked if this recommended action is an
authorization to permit reimbursement for a specific number of line items or
if it represents a blanket availability of funds for what needs to be spent prior
to the opening of the golf course.
Mr. Weiss clarified it would be reimbursements pursuant to the budget. An
advance would then be taking place in January pursuant to the Management
Contract. He stated if City Council approves the recommendation, Landmark
would be reimbursed for expenses they have already incurred. In response
to Council Member Osborne, he said it would be in the total amount of
between $280,000 and $290,000 that would cover reimbursable expenses
as itemized within the budget document.
Council Member Henderson said she understands the issue and the staff
report and she felt that if the Council were to limit this to only those items
that were already purchased for start-up then the matter may come back
again prior to the anticipated completion date of approximately January 17th.
Council Member Perkins said his only concern was that these expenses were
approved in the budget and that the answer is "yes".
In response to Mayor Adolph, Mr. Weiss explained that if a request, in
excess of the $280,000 to $290,000 contained in the business plan, should
be made the plan does address it. Staff would present the reimbursement
request to the City Council to approve funding from the contingency account
which is set aside to cover expenses through .June 30, 2005.
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Special Meeting Minutes
- Mayor Adolph asked staff to provide a summary of the types of expenditures
included in the reimbursable start-up and business plan. He asked that in
general terms the purchase of clubhouse equipment, for example, be
itemized.
Development Coordinator Roy Stevenson responded computers, some
miscellaneous office furnishings, accounting and administrative hardware and
software, printers, h~ndicap computer, security systems, portable PA
system, podium, etc. are expenditures included for the clubhouse. As to the
practice facility equipment, he said it includes range balls, ball washers,
range signs, directional signs, blade attachments, communication radios, etc.
Mayor Adolph asked if furniture would also include the Pro Shop furnishings.
Mr. Stevenson advised the previous approval for Furniture, Fixtures and·
Equipment (FF&E's) covered the Pro Shop.
Council Member Osborne, asked the staff's original intent was to not pay for
these start-up items prior to the opening? Mr. Stevenson said he believes
staff's original intent was to reimburse them as they were' acquired, but
some conflicting language in the documents made. it necessary to get City
r-- Council approval to do so.
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Council Member Sniff asked what would' be considered maintenance
equipment. Mr. Stevenson replied this would be for golf course maintenance
equipment such as mowers.
Council Member Perkins commented about the need to provide more detailed
information in the staff reports. Cou.ncil Member Sniff repeated the request.
MOTION - It was moved by Council Members Sniff/Henderson to authorize
the City Manager to approve payments for pre-opening golf course expenses
set forth in the approved Startup and Annual Business Plan prior to the
effective date of the Golf Course Management Agreement. Motion carried
unanimously.· MINUTE ORDER NO. 2004-138.
STUDY SESSION - None
MAYOR·AND COUNCIL MEMBERS' ITEMS - None
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¡ PUBLIC HEARINGS .- None
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City Council 4 November 29, 2004
Special Meeting Minutes
PUBLIC HEARINGS - None
ADJOURNMENT
There being no further business, it was moved by Council Members Sniff/Osborne
to adjourn. Motion carried unanimously.
Respectfully submitted,
~-Ed~
JUNE S. GREEK, City Clerk
City of La Quinta, California
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