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2007 11 20 RDA MinutesLA QUINTA REDEVELOPMENT AGENCY MINUTES NOVEMBER 20, 2007 A regular meeting of the La Quinta Redevelopment Agency was called to order by Chairman Osborne. PRESENT: Agency Members Adolph, Kirk, Sniff, Chairman Osborne ABSENT: Agency Member Henderson (arrived 3:15 p.m.) MOTION - It was moved by Agency Member Sniff/Chairman Osborne to excuse the absence of Agency Member Henderson. Motion carried unanimously. PUBLIC COMMENT — None CLOSED SESSION 1. Conference with Agency's real property negotiator, Douglas R. Evans, pursuant to Government Code Section 54956.8 concerning potential terms and conditions of acquisition and/or disposition of property identified as APN: 649-030-016, and -017. Property Owner/Negotiator: Jerry Johnson, Desert European Motor Cars, Ltd. The Redevelopment Agency recessed to Closed Session. 7:00 P.M. The Redevelopment Agency meeting reconvened at 7:30 p.m. with no decisions being made in Closed Session which require reporting pursuant to Government Code Section 54957.1 (Brown Act). PUBLIC COMMENT — None CONFIRMATION OF AGENDA — Confirmed Redevelopment Agency Minutes 2 November 6, 2007 APPROVAL OF MINUTES MOTION — It was moved by Agency Members Sniff/Adolph to approve the Redevelopment Agency Minutes of November 6, 2007 as submitted. Motion carried unanimously. CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED NOVEMBER 20, 2007. 2. RECEIVE AND FILE TREASURER'S REPORT DATED SEPTEMBER 30, 2007. 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT DATED SEPTEMBER 30, 2007. 4. APPROVAL OF THE SEPARATELY -ISSUED LA QUINTA REDEVELOPMENT AGENCY ANNUAL AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30, 2007. 5. APPROVAL OF AN APPROPRIATION TO REMOVE DEBRIS AT SILVERROCK RESORT FROM PHASE I CONSTRUCTION. 6. AUTHORIZATION FOR OVERNIGHT TRAVEL FOR ASSISTANT CITY MANAGER -DEVELOPMENT SERVICES AND ONE MANAGEMENT ANALYST TO ATTEND THE 2008 CALIFORNIA REDEVELOPMENT ASSOCIATION (CRA) ANNUAL CONFERENCE AND EXPO TO BE HELD IN ANAHEIM, CALIFORNIA, MARCH 26-28, 2008. MOTION — It was moved by Agency Members Sniff/Henderson to approve the Consent Calendar as recommended. Motion carried unanimously. BUSINESS SESSION — None STUDY SESSION — None CHAIR AND AGENCY MEMBERS' ITEMS — None Redevelopment Agency Minutes 3 November 6, 2007 PUBLIC HEARINGS 1. PUBLIC HEARING TO REVIEW AND TAKE TESTIMONY ON THE MID- YEAR REVIEW OF THE THIRD FIVE YEAR IMPLEMENTATION PLAN FOR THE LA OUINTA REDEVELOPMENT AGENCY PROJECT AREA NOS. 1 AND 2 AND TO COMMIT ADDITIONAL PROGRAMS TO THE THIRD FIVE YEAR PLAN. Redevelopment Consultant Spevacek presented the staff report. Chairman Osborne questioned the growing negative balance from the anticipated revenue for non -housing activities. Redevelopment Consultant Spevacek explained staff did not include a beginning balance which contributes to the deficit, which is programmed through the CIP, including the full cost of the clubhouse and SilverRock Resort improvements; staff is charged to move forward as part of the annual management review to develop a cash flow of how to pay for the improvements and a more concrete payment program by moving the expenditures to FY 2008/2009. Chairman Osborne referred to job growth listed as one of the items to be addressed regarding the non -housing programs, and stated not only retail and tourism job should be promoted, but also high paying jobs. In response to Chairman Osborne, Redevelopment Consultant Spevacek explained the schedule for Project Nos. 1 and 2 shown in the Implementation Plan was adopted in 2004, and stated the revenue numbers and project costs have been updated, which show a year end balance in 2008/2009 of $20,000,574; and stated the dollar amount looks scary because if the State reviews the balance, they may say we will need to do more. Redevelopment Consultant Spevacek explained the reason the projects were off is pursuant to the annual financial management review, staff used current actual revenues and assumed assessed value growths at a 2% per annum rate; staff has seen since 2004 the assessed values increase from 15 to 20 percent per year which is the variance. In response to Chairman Osborne, Redevelopment Consultant Spevacek explained the per unit expenditures are lower than what was actually spent due to the reference from the 2004 Implementation Plan which reflects the actual expenditures at that time. Redevelopment Agency Minutes 4 November 6, 2007 Chairman Osborne questioned if these old assumptions are noted. Redevelopment Consultant Spevacek stated Attachment 2 of the staff report is the Third Implementation Plan which includes the updated information. In response to Chairman Osborne, Redevelopment Consultant Spevacek explained the reference to mobile home park rehabilitation and the old numbers for affordable housing is to the Dune Palms Mobile Home Park where staff was hopeful to perpetuate a purchase and make more progress with the owners and reuse of the site. Redevelopment Consultant Spevacek explained the number of units needed is 375 more units and that there will not be any changes to this amount based on the build -out capacity and highest possible density. Assistant City Manager -Development Services Evans further explained staff will have two sets of housing numbers that will be held more accountable to in the future, and what Redevelopment Consultant Spevacek talked about, and the RENA numbers, will be harder to produce over time. In response to Chairman Osborne, Redevelopment Consultant Spevacek stated the numbers will only change if property is annexed into the Redevelopment Project Area itself and if substantially rehabilitated. The Chair declared the PUBLIC HEARING OPEN at 7:54 p.m. Council Member Henderson stated that because Vista Santa Rosa is in the Redevelopment Area, there are certain housing numbers for affordable housing that will be required. There being no requests to speak, the Chair declared the PUBLIC HEARING CLOSED at 7:55 p.m. MOTION - It was moved by Agency Members Sniff/Adolph to approve the Mid -Year Third Five Year Implementation Plan and the inclusion of the Projects and Programs listed therein in the Mid -Year Third Five Year Implementation Plan. Motion carried unanimously. Redevelopment Agency Minutes 5 November 6, 2007 ADJOURNMENT There being no further business, it was moved by Agency Members Sniff/Adolph to adjourn at 7:56 p.m.s Motion carried unanimously. Respectf ly submitted, VERONICA J. NTECINO, Secretary City of La Quinta, California