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2006 02 21 RDA Minutes LA OUINTA REDEVELOPMENT AGENCY MINUTES FEBRUARY 21, 2006 A regular meeting of the La Ouinta Redevelopment Agency was called to order by Chairman Osborne. PRESENT: ABSENT: Board Members Adolph, Henderson, Sniff, Chairman Osborne (one vacancy) PUBLIC COMMENT - None CLOSED SESSION 1 . Conference with Agency's real property negotiator, Thomas P. Genovese, pursuant to Government Code Section 54956.8 concerning potential terms and conditions of acquisition and/or disposition of a portion of 525 + acres located at the southwest corner of Avenue 52 and Jefferson Street. Property Owner/Negotiator: Theodore Lennon, DDC Desert Development, Inc. 2. Conference with the Agency's real property negotiator, Doug Evans, pursuant to Government Code Section 54956.8 concerning potential terms and conditions of acquisition and/or disposition of real property regarding ENA negotiations with CVHC for property located at the southwest corner of Dune Palms and Avenue 48. Property Owners/Negotiators: Coachella Valley Housing Coalition. The Redevelopment Agency recessed to Closed Session to and until the hour of 3:00 p.m. 3:00 P.M. PUBLIC COMMENT - None CONFIRMATION OF AGENDA - Confirmed Redevelopment Agency Minutes 2 February 21, 2006 APPROVAL OF MINUTES MOTION - It was moved by Board Members Sniff/Adolph to approve the Redevelopment Agency Minutes of February 7, 2006 as submitted. Motion carried unanimously. CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED FEBRUARY 21,2006. 2. TRANSMITTAL OF TREASURER'S REPORT DATED DECEMBER 31, 2005. 3. TRANSMITTAL OF REVENUE & EXPENDITURES REPORT DATED DECEMBER 31, 2005. 4. APPROVAL OF CONTRACT CHANGE ORDER NOS. 1 AND 2 FOR PROJECT NO. 2005-10, AVENUE 52 STORM DRAIN IMPROVEMENTS. 5. ADOPTION OF A RESOLUTION APPROVING A DEVELOPMENT AGREEMENT FOR PARKING MANAGEMENT TO ALLOW CONSTRUCTION OF A 10,709± GROSS SQUARE-FOOT, TWO- STORY RETAIL/OFFICE BUILDING IN THE VILLAGE AT LA QUINT A, AS APPROVED UNDER DEVELOPMENT AGREEMENT 2005-008, AND VILLAGE USE PERMIT 2005-027. (RESOLUTION NO. RDA 2006-001) 6. ADOPTION OF A RESOLUTION APPROVING A DEVELOPMENT AGREEMENT FOR PARKING MANAGEMENT TO ALLOW CONSTRUCTION OF A 19,433± GROSS SQUARE-FOOT, TWO- STORY OFFICE BUILDING WITH A COFFEE BAR IN THE VILLAGE AT LA QUINTA, AS APPROVED UNDER DEVELOPMENT AGREEMENT 2005-009, AND VILLAGE USE PERMIT 2005-032. (RESOLUTION NO. RDA 2006-002) 7. ACCEPTANCE OF PROJECT NO. 2002-07J, SilverRock RESORT IRRIGATION WELL SITE. 8. APPROVAL OF PROFESSIONAL SERVICES AGREEMENT WITH ECONOMICS RESEARCH ASSOCIATES FOR A 2006 LA QUINTA MARKET STUDY. MOTION - It was moved by Board Members Sniff/Henderson to approve the Consent Calendar as recommended and with Item Nos. 5 and 6 being approved by RESOLUTION NOS. RA 2006-001 through 2006-002 respectively. Motion carried unanimously. Redevelopment Agency Minutes 3 February 21, 2006 BUSINESS SESSION 1. CONSIDERATION OF CONCEPT DEVELOPMENT PLANS FOR A 218 UNIT MULTI-FAMILY RESIDENTIAL PROJECT LOCATED AT THE NORTHWEST CORNER OF DUNE PALMS ROAD AND AVENUE 48. APPLICANT: COACHELLA VALLEY HOUSING COALITION. Comrnunity Development Director Evans presented the staff report. John Mealey, 45-701 Monroe Street, Indio, Executive Director of Coachella Valley Housing Coalition, introduced Reuel Young, of Interactive Design Corporation, \Nho reviewed the site plan and conceptual design. In response to Board Member Henderson, Mr. Young confirmed an open space area is proposed in the parking area. Board Member Adolph stated he is pleased with the aesthetics of the project shown in the elevations. Board Member Sniff stated he prefers an architecture more unique to the desert area with inset windows and wider eaves. He suggested offsetting the top units to allow a maximum amount of sunlight to the lower units and common areas. Mr. Young noted one of the three-story units is offset, and indicated the architecture style is a hacienda or mission tradition. In response to Chairman Osborne, Mr. Evans confirmed public hearing notices are not required for business items. In response to Chairman Osborne, Mr. Young stated they are looking at several energy conservation methods including solar-heated water in conjunction with booster heaters, and micro-turbines. Board Member Henderson commented on a manufactured brand of paint that reflects heat. Chairman Osborne inquired about the grading. Mr. Young stated the grade will be 10 feet less than the current grade, and will terrace up toward the northwest portion of the site. He added the grade was dropped an additional foot at the request of the Watercolors development, Redevelopment Agency Minutes 4 February 21, 2006 MOTION - It was moved by Board Members Sniff/Henderson to approve the conceptual site plans and building elevations, and direct staff to negotiate a Disposition and Development Agreement with Coach ell a Valley Housing Coalition. Motion carried unanimously. The Redevelopment Agency recessed to and until 7:00 p.m. 7:00 P.M. PUBLIC COMMENT Mike Livingston, 80-065 Vista Grande, spoke regarding apartment access gate off of Vista Grande. He noted an electronic gate has been installed but is still being used for ingress and egress. He voiced concern about it leading to more crime in the area, and requested more action from the City. Agency Counsel Jenson confirmed the access was discussed in closed session but no action was taken. City Manager Genovese indicated the City sent a letter to the City of Indio regarding improvements they made in the City of La Quinta's right-of-way, and that he will be meeting with their city staff in the near future. Agency Counsel Jenson referenced a letter received from the City of India that is available for public review. Ira Boiko, 44-750 Seeley Drive, inquired about the timeframe for the City of Indio to respond, to which Board Member Henderson replied, "two weeks." Lori Fahnestock expressed safety concerns in regard to this issue. BUSINESS SESSION . . . . . . . . . . . . continued 2. CONSIDERATION OF MID-YEAR BUDGET REPORT FOR FISCAL YEAR 2005/2006. Finance Director Falconer presented the staff report. In response to Board Member Adolph, Mr. Falconer stated in June 2005, the City had approximately $32 million of outstanding ~_.- . ._-- -- -..- ~._--_._-- ---- -- --- -..--.- - --- --- -- -..----- ------ -+ _.- -- - Redevelopment Agency Minutes 5 February 21, 2006 advances. After selling the Hammer property, the City was able to pay back approximately $6.8 million and generate approximately $400,000 of interest income. He explained the interest begins to compound to a point in the future, that some of the principal and interest may have to be forgiven if payments are not started. This restructuring better ensures that the City will be able to collect the interest by the time the Redevelopment Project Area expires in 30 years. He anticipates the City receiving all of the interest, and noted that without restructuring the loans, it may not be possible. MOTION - It was moved by Board Members Henderson/Sniff to: 1) approve an increase of $15,769,489 in estimated property tax increment revenue; 2) approve an increase of $1,471 ,400 in estimated investment interest revenue; 3) approve an increase of $7,824,584 in estimated proceeds from the sale of land; 4) approve an increase of $1 ,207,500 in estimated revenues from other sources; 5) approve an appropriation increase of $7,827,315 in pass-through tax payments; 6) approve a decrease in the Educational Relief Augmentation Fund (ERAF) expense account of $96,343; 7) approve a decrease of $379,653 in interest expense; and 8) approve an appropriation increase in the Housing Project account of $105,015. Motion carried unanimously. MOTION - It was moved by Board Members Sniff/Adolph to receive and file the Mid-Year Budget Report. Motion carried unanimously. STUDY SESSION - None CHAIR AND BOARD MEMBERS' ITEMS Chairman Osborne referred to a suggestion he made previously that a SilverRock Resort Subcommittee be created to meet with Landmark and staff on a monthly basis. He stated he feels there are a number of issues with the golf course that the Agency should be updated on a closer basis, and requested further consideration be given to create the subcommittee. He suggested the subcommittee be included once a month in the weekly meetings staff has with Landmark, and look at everything, including the golf course and development of the site. There was consensus to have this brought back as a business item. Redevelopment Agency Minutes 6 February 21, ,2006 Executive Director Genovese noted the current meetings are held as a City Council item, and the current meetings with Landmark do not include development. Therefore, this would require two separate meetings. PUBLIC HEARINGS - None The Redevelopment Agency recessed to Closed Session as delineated on Page 1. The Redevelopment Agency meeting was reconvened with no decisions being made in Closed Session which require reporting pursuant to Section 54957.1 of the Government Code (Brown Act). ADJOURNMENT There being no further business, it was moved by Board Members Sniff/Henderson to adjourn. Motion carried unanimously. Respectfully submitted, ~ ---d. ~ JUNE S. GREEK, Secretary City of La Quinta, California ~_.- -- --- ~._._- - - --- _. ---- -