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2008 04 15 CC MinutesLA QUINTA CITY COUNCIL MINUTES APRIL 15, 2008 A regular meeting of the La Quinta City Council was called to order at the hour of 3:30 p.m. by Mayor Adolph. PRESENT: Council Members Henderson, Kirk, Osborne, Sniff, Mayor Adolph ABSENT: None PUBLIC COMMENT Randy Buchsbaum, 78435 Via Palomino, introduced a new product called "Cool and Save," amini-misting system connected to the air conditioner to help cool residences and reduce electricity costs. Council Member Henderson recommended he speak with the City's energy representative. CLOSED SESSION Council Member Osborne did not participate in Item No. 1 due to a potential conflict of interest. 1. Conference with the City'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 real property for the following: Property Owners/Negotiators: Turner Development -APN 767- 220-004); Majestic Ranch -APN 767-230-001, -002, and -003; and CCI Airport 77 -APN 767-360-011 and -012. The City Council recessed to the Redevelopment Agency and to Closed Session to and until the hour of 4:00 p.m. 4:00 P.M. Mayor Adolph led the audience in the Pledge of Allegiance. PUBLIC COMMENT Jerry Patton, President of College of the Desert, expressed appreciation for the City's support of the Public Safety Academy, and presented a rendering of the new academy. City Council Minutes 2 April 15, 2008 CONFIRMATION OF AGENDA Council Member Osborne requested Consent Item No. 9 be moved to Business Item No. 4. ANNOUNCEMENTS -None Mayor Adolph presented a proclamation to Lieutenant Ray Gregory on behalf of the Riverside County Sheriff's Department in support of May 2008 as Peace Officer Memorial Month. Mayor Adolph presented a proclamation to Captain Mark Miller of the Indio Police Department on behalf of the Riverside County Department of Mental Health in support of May as Mental Health Month. WRITTEN COMMUNICATIONS 1. WRITTEN CORRESPONDENCE FROM MARTY W. BUTLER, TRANS WEST HOUSING, DATED MARCH 27, 2008, REGARDING NOTICE OF DEFAULT OF SUBDIVISION IMPROVEMENT AGREEMENT -TRACT MAP 29436. Council concurred to direct staff to bring this matter back on the next agenda for consideration. APPROVAL OF MINUTES Council Member Henderson requested her comments on Page 9 in paragraph 3, be revised to reflect an understanding that there is potential for the monument to be disturbed and that she understands the need for flexibility. MOTION - It was moved by Council Members Sniff/Henderson to approve the City Council Minutes of April 1, 2008, as amended. Motion carried unanimously. City Council Minutes 3 April 15, 2008 CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED APRIL 15, 2008. 2. RECEIVE AND FILE TREASURER'S REPORT DATED FEBRUARY 29, 2008. 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT DATED FEBRUARY 29, 2008 AND INVESTMENT SUMMARY REPORT FOR THE QUARTER ENDING MARCH 31, 2008. 4. ADOPTION OF A RESOLUTION TO EXTEND THE TIME FOR COMPLETION OF OFFSITE AND ONSITE IMPROVEMENTS FOR AMENDED TRACT MAP 31732 AND TRACT MAP 31733, PALIZADA, KB HOME COASTAL, INC. (RESOLUTION NO. 2008-022) 5. APPROVAL OF CONTRACT AMENDMENT NO. 2 TO A PROFESSIONAL SERVICES AGREEMENT fPSA) WITH RBF CONSULTING TO PREPARE THE PLANS, SPECIFICATIONS, AND ENGINEER'S ESTIMATE OF PROBABLE CONSTRUCTION COSTS FOR THE HIGHWAY 111 CORRIDOR IMPROVEMENTS FROM ADAMS STREET TO JEFFERSON STREET, PROJECT NO. 2001-07A. 6. APPROVAL OF AMENDMENT NO. 1 TO THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC) AND THE CITY OF LA QUINTA FOR THE FUNDING AND JOINT DEVELOPMENT OF STATE HIGHWAY 111 IMPROVEMENTS BETWEEN WASHINGTON STREET AND THE WESTERN CITY LIMITS. 7. APPROVAL OF SECOND READING OF ORDINANCE NO. 455 APPROVING DEVELOPMENT AGREEMENT 2003-006, AMENDMENT NO. 3, BETWEEN THE CITY OF LA QUINTA AND CP DEVELOPMENT LA QUINTA, LLC. 8. APPROVAL OF AMENDMENT NO. 1 TO THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC) AND THE CITY OF LA QUINTA FOR THE FUNDING ANb JOINT DEVELOPMENT OF STATE HIGHWAY 111 IMPROVEMENTS BETWEEN SIMON DRIVE AND ADAMS STREET. 9. SEE BUSINESS SESSION ITEM NO. 4. City Council Minutes 4 April 15, 2008 10. APPROVAL OF CONTRACT AMENDMENT NO. 1 TO A PROFESSIONAL SERVICES AGREEMENT (PSA) WITH WILLDAN TO PREPARE THE PLANS, SPECIFICATIONS, AND ENGINEER'S ESTIMATE (PS&E) OF PROBABLE CONSTRUCTION COSTS FOR THE TRAFFIC SIGNAL AT THE INTERSECTION OF FRED WAKING DRIVE AND PALM ROYALE, PROJECT NO. 2007-06. MOTION - It was moved by Council Members Sniff/Henderson to approve the Consent Calendar as recommended and amended with the exception of Item No. 9 and with Item No. ~} being approved by RESOLUTION NO. 2008-22. Motion carried unanimously. BUSINESS SESSION 1. CONSIDERATION OF SPORTS FIGURES ACKNOWLEDGMENTS. Community Services Director Hylton presented the staff report. In response to Council Member Sniff, Community Services Director Hylton explained there is no minimum age limit in the criteria for consideration of the Sports Figure Acknowledgments. Council Member Sniff questioned if criteria should be established. Council Member Henderson stated the criteria have three levels of recognition to be met. Council Member Sniff stated some of the categories, such as swimming, have very young athletes; and questioned if there should be a minimum age limit. Mayor Adolph stated a candidate should be considered based on performance rather than age. Council Member Sniff stated this issue may surface sometime. Mayor Adolph stated he knows Albie Pearson personally. He is an ordained minister, operates a house for at-risk boys, and played for the Los Angeles Angels. MOTION - It was moved by Council Members Kirk/Henderson to approve the addition of Albie Pearson, Arnold Palmer, Cullen Wilson, and Brittany Reimer's names to the Sports Acknowledgment Area and ceremony. Motion carried unanimously. City Council Minutes 5 April 15, 2008 2. CONSIDERATION OF THE SILVERROCK RESORT 2008/2009 ANNUAL PLAN. Community Services Director Hylton presented the staff report. Council Member Osborne thanked Landmark for doing an outstanding job managing the course and the success of the first Bob Hope Chrysler Classic. In response to Council Member Osborne, Community Services Director Hylton confirmed the deficit is less each year, and additional funds have been placed in the annual plan to address weather issues that might come up. Council Member Sniff noted although the deficit is getting smaller, it is still a sizeable amount; and asked if Landmark has introduced any creative ideas to increase play on the golf course and decrease the deficit. Randy Duncan, representing Landmark, stated they continue to look at ways to increase rounds of golf and the numbers improve every year; and noted there are limitations in being able to increase the resident rate. Council Member Sniff stated he is not suggesting raising rates, but rather increasing the number of players. Mr. Duncan stated the play in season does not allow having open tee times and the course can only accommodate a certain number of players; and confirmed there is approximately four to five months of reduced play on the course during the summer season. In response to Mayor Adolph, Mr. Duncan confirmed staff continues to work with organizations to play tournaments at the golf course. Mr. Duncan confirmed a larger clubhouse would accommodate more golfers and larger tournaments, in response to Council Member Henderson. Council Member Henderson noted when the new clubhouse is completed; play on the course may increase. She asked if it is typical to close the course two weeks prior to the Classic, to which Mr. Duncan responded, "Yes," but most of the courses are private. He stated the closure of SilverRock for the Classic reduced the number of plays this year; and stated staff is able to close the course a little longer for the next Classic as there are options to help control divots in the fairways and ball marks on the greens. In response to Council Member Henderson, Mr. Duncan explained the PGA requires the course to be closed the week before the tournament. City Council Minutes G April 15, 2008 Council Member Kirk stated Landmark is doing a good job in managing the SilverRock Resort golf course; and questioned what the actual operating budget deficit is anticipated to be this year. Mr. Duncan explained they expect to beat the budget for last year and anticipate being in the high 5300,OOOs. In response to Council Member Kirk, Community Services Director Hylton confirmed 5100,000 will be included in the SilverRock budget for the annual contract for the Bob Hope Classic; stated she was not part of negotiations for use of the golf course for the Bob Hope Chrysler Classic, but additional costs were anticipated; and explained the extra cost is due partly to improvements made to the parking lot prior to the event. Council Member Kirk questioned for how long a deficit was forecasted when SilverRock was planned. Community Services Director Hylton stated it was forecasted for six years, and the Resort is in its fourth year. City Manager Genovese explained it will greatly depend on the progress of the condominium hotel and addition of a second course, which will result in an increase of a higher per average rate due to resident play on both courses.. Council Member Kirk asked to revievr the original projections with assumptions and how close we're tracking them. Mayor Adolph stated the City has purchased equipment and revamped the course for accessibility over the last few years; and as a result, less maintenance in preparation for the Classic will be needed and more revenue over the next couple of years; questioned if the sand traps can be watered down to keep the sand from blowing away. Mr. Duncan explained thicker sand can be used after the Classic, but the PGA requires finer sand during the Classic. Mayor Adolph stated there will be fewer expenses to establish the course during the first few years; stated the course cannot handle more golfers than it can accommodate, and, unfortunately, there is a great reduction of play during the summer. Council Member Sniff suggested the play could be extended by installing lights on the course. MOTION - It was moved by Council Members Kirk/Sniff to approve the SilverRock Resort Annual Plan as submitted by Landmark Golf Management, LLC. Motion carried unanimously. City Council Minutes 7 April 15, 2008 3. CONSIDERATION OF THE COMMUNITY SERVICES COMMISSION WORK PLAN FOR FISCAL YEAR 2008/2009. Community Services Director Hylton presented the staff report. In response to Council Member Kirk, Community Services Director Hylton confirmed an aggressive review of a fitness trail is included in the plan; and explained staff and two members of the Community Services Commission are working on the trails system with the Coachella Valley Trails Coalition and Bureau of Land Management; and stated staff anticipates a plan addressing these issues to be presented to the Community Services Commission in approximately 30 days. Council Member Henderson commented on the two previous City-sponsored firework shows being fabulous, but is concerned the high school location may have affected attendance, and asked about exploring use of the Civic Center Campus. Community Services Director Hylton explained staff is requesting funding in the next fiscal budget to conduct an analysis to utilize the Civic Center Campus for the event in Fiscal Year 2009/2010. She further explained staff is requesting funding for the full amourit of the fireworks show in the amount of 530,000. Council Member Henderson requested a caveat in the budget that includes athree-month update on issues such as where the fireworks will be located. In response to Council Member Sniff, Community Services Director Hylton explained the Community Services Commission generally meets once a month, except for going dark in September, and the meetings last about 1'/z hours for a total of 18 hours for the year. Council Member Osborne suggested a fireworks show following the annual birthday party picnic at La Quinta Park. He also questioned the status of the land use agreement at the Colonel Mitchell Paige School. Community Services Director Hylton stated the school facility is being used on Saturdays only and will engage in a sports agreement with the school district when there is more use of the park. Community Services Director Hylton confirmed improvements will be made to the facility upon the City maintaining the fields at Colonel Mitchell Paige School. In response to Council Member Osborne, Community Services Director Hylton explained the Coachella Valley Parks and Recreation District is City Council Minutes 8 April 15, 2008 conducting a study at the top of the Whitewater Channel for the possibility of establishing abike/walking trail. Mayor Adolph commented on this being an aggressive work plan, and complimented staff on the success of the Jazz concert at the Campus. In response to Council Member Osborne, Community Services Director Hylton explained grant funding received by the Coachella Valley Parks and Recreation District for the Avenue 58 Coral Mountain Project has expired, and funding has been allocated to other projects, including the La Quinta Community Park; and stated the District has contacted Planning Director Johnson to discuss the project. Planning Director Johnson explained staff spoke to the District at a constructive meeting regarding 77 conditions for the project, but has not heard back from them since. City Attorney Jenson stated her office has received a letter from their legal counsel asking to proceed without any permits. Council Member Henderson stated she believes the jazz concert was held in Old Town and asked if the overall plan for the Whitewater Channel will be a dotted line bike trail. Community Services Director Hylton stated the challenge will be if it's feasible to complete in just La Quinta and it will be a challenge to complete in either direction; confirmed citizens want places to bike and walk, and it's a challenge crossing major intersections. Council Member Sniff expressed caution about doing something in the channel because of the potential for flooding. MOTION - It was moved by Council Members Henderson/Sniff to approve the Community Services Commission 2008/2009 Work Plan. Motion carried unanimously. 4. CONSIDERATION OF CITY OF LA QUINTA 2008/2009 ECONOMIC DEVELOPMENT PLAN. (This item was moved from Consent Item No. 9.) Council Member Osborne stated staff has done a good job incorporating changes requested by the City Council to establish an action plan; stated the plan is a bit aggressive from a timing standpoint; and questioned how is staff going to complete the plan this year. Assistant City Manager-Development Services Evan explained the plan is a team effort, and confirmed updates of accomplishments will be reported to the City Council. City Council Minutes 9 April 15, 2008 Council Member Osborne suggested appointing a member from the City Manager's office on the Chamber of Commerce Executive Board to provide better monitoring and communication, as the City provides significant funding to the Chamber. Council Member Sniff noted the Chamber must maintain their independence, and having a City staff member on the Board could compromise the relationship and become a participant in the organization itself. Council Member Henderson explained some years ago the Chamber was becoming aquasi-governmental agency and they didn't want that. She feels it's good for them to retain their independence. Council Member Kirk asked if the City Attorney agrees having a staff person would contaminate the Board. City Attorney Jenson stated the more funding and resources provided by the City, the more need there may be to look at political issues they're advocating and maybe restrict some of their activities; if the Council wishes to have someone on the board, she prefers reviewing their regulations before appointing a staff member to the Board. Council Member Kirk stated it's worth discussing as a policy issue if we find out there are no legal issues. Council Member Osborne stated the Chamber of Commerce is very successful and would like to take the opportunity to partner with them. Mayor Adolph stated the Palm Desert Chamber of Commerce includes public officials in their magazine, whereas La Quinta doesn't, but he does not know if Palm Desert provides funding to their Chamber of Commerce. Council Member Sniff stated contributions make the City vulnerable, and recommends maintaining their independence. Council Member Henderson spoke in support of reviewing the legal aspects prior to considering an appointment. Mayor Adolph requested the City Attorney bring back a report on any legal ramifications of appointing a staff member to the Chamber of Commerce Executive Board. City Council Minutes 10 April 15, 2008 MOTION - It was moved by Council Members Osborne/Sniff to approve the City of La Quinta 2008/2009 Economic Development Plan. Council Member Kirk commended staff for presenting a much tighter Economic Development Plan. Mayor Adolph thanked staff for the update of statistical information. Motion carried unanimously. STUDY SESSION 1. CONTINUED DISCUSSION OF CITY OF LA QUINTA MARKETING STRATEGIES FOR FISCAL YEAR 2008/2009. Management Analyst Casillas presented the staff report. In response to Council Member Osborne, Management Analyst Casillas stated the estimated budget for the marketing programs is 5450,000, which is comparable to last year. Council Member Sniff commended staff on a job well done; stated the City must maintain the ability to remain flexible due to the economy and will need to react locally; and suggested discussing the Marketing Committee. Council Member Henderson conveyed her satisfaction with the program; stated the current issue is to address the marketing committee; what it is expected to do, the criteria to be used to rate a request, and whether the requests falls under "marketing" and if not, to come back through the grant process. Council Member Kirk referred to Attachment 1 of the staff report, and stated he sees a lot of value and need to spend public money to get information out about public services, the City calendar, and public relations, but is skeptical about using funds for generic messages such as "Shop and Dine La Quinta; he prefers spending money to make the community good rather than promoting that the City is good; stated would like to see the water conservation program promoted; not sure what we are trying to achieve with the general message items listed on Page 7 and 8 of the staff report; can see value in bus wrap ads if for a specific purpose, such as the Bob Hope Classic or the Arts Festival, but not for generic advertising; stated he is supportive of half of what we are doing and skeptical about the other half; suggested taking advantage of cooperative advertising, with the geographic links between SilverRock Resort, Old Town and the La Quinta Hotel and look at City Council Minutes 11 April 15, 2008' ways to provide synergy in their own marketing efforts immediately; stated he errs on the side of specificity and has a little concern about spending funds for generic purposes. Mayor Adolph conveyed disagreement with Council Member Kirk's comments; stated the Valley is known by the word Palm Springs, and the marketing program is an effort to get La Quinta's name out there; stated many visitors that come into the Valley don't know La Quinta; he would like to see bus wrap advertising of La Quinta in Palm Springs to get the word out; stated advertising is a necessity and marketing is an effort to get the City's name out into the general public for at least a short period of time; and asked if staff has received information from SunLine regarding their proposal for advertising. Ms. Carter, Kiner Communications, stated she can obtain information and samples of what SunLine is proposing. Mayor Adolph stated The La Quinta Sun showed a map of the businesses on the back page in last Thursday's issue; and suggested something similar be created for Highway 111 and distribute it at the local hotels. Council Member Henderson stated the City Council has already agreed to produce something similar to that. Council Member Sniff conveyed disagreement with Council Member Kirk's comments; one of the reasons we became a Charter City is to accomplish things the City could not address as a General Law City; stated the advertising must be dynamic, creative and somewhat repetitious as the City is dealing with an ever changing group of people; stated the City must support the businesses that make it economically viable and successful; stated the City must produce informative advertising on an ongoing basis; and conveyed agreement with the comments made by Mayor Adolph. Ms. Carter explained the advertising this year is a more "call to action" style; and the current ad campaigns list specific events to come play, shop, dine and stay in La Quinta. In response to Council Member Henderson, Management Analyst Casillas explained there are several pieces to the Marketing Plan, such as business development, advertising, etc. Council Member Henderson stated the challenge is that requests have been dumped on the marketing budget; stated funds must be allocated for marketing requests; and criteria established to evaluate a request by the marketing committee. City Council Minutes 12 April 15, 2008 Council Member Sniff stated the first thing to review is whether it is a legitimate request under marketing. Council Member Henderson stated a marketing committee should be established if it has not already been done. Council Member Kirk explained the City of La Quinta was included in an advertisement displayed in Time Square, New York, and questioned if Kiner Communications initiated it. Ms. Carter stated she was not aware of the advertisement. Mayor Adolph stated the advertisement was related to affordable housing. Council Member Kirk noted an advertisement like that would cost as much as what we budget for marketing for the entire year; stated he feels doing a story about great things happening in La Quinta is a better use of funds than spending a small amount trying to buck a trend that has existed for years; stated spending 5200,000 on general, feel good messages about La Quinta is a waste of money. Mayor Adolph stated anything that we can do to promote La Quinta is worthwhile, but not putting all our funds in one basket. Council Member Henderson stated the City is going to reap a lot of notoriety based on the Vista Dunes project. Ms. Carter explained allocating funds in several venues is a general marketing philosophy. Council Member Sniff stated this issue is very important; stated the ideas that have been presented may not be particularly beneficial, and advertisement in Time Square will be viewed by a few people in Time Square; stated the proposed marketing plan is very important as it is diverse and the City needs to follow it. Mayor Adolph questioned if the City Council wishes to address the Marketing Committee. Council Member Henderson stated the Marketing Committee already exists; and criteria and a point system for qualifying requests need to be established. Council Member Kirk stated the approach, even though difficult, through community service requests may have application here; must consider if the requests are allocated from a marketing budget; if there is a cap and competition, we must consider if more important than a bus wrap; would City Council Minutes 13 April 15, 2008 rather see different ideas competing for one another; stated it is a challenge when we receive requests for funding mid-year and questioned how the City Council wrestles with this issue. Council Member Henderson questioned if the recommendation from last year's budget was 5410,000 and the request now is 5450,000. City Manager Genovese explained there was a small discretionary amount of 520,000 or $50,000. Council Member Henderson suggested finalizing a figure and a discretionary fund amount. City Manager Genovese further explained a discretionary amount was recommended last year and will do the same this year; stated staff didn't separate the requests for discretionary funds last year, but had a separate amount, and will be doing the same this year when the budget is presented for review. Mayor Adolph questioned if the list of requests wiN be prioritized. City Manager Genovese explained it was intended to compile the order of the items in the staff report; stated staff will prioritize the requests during the budget process as funding may not be available for all requests; and explained this is the first step of the process. Council Member Sniff requested the opinion of the City Council as to whether we could potentially add someone to this committee, such as the La Quinta Resort and Club or one or two other business entities. Mayor Adolph stated the Resort is managed by the Hilton Hotels. Council Member Henderson stated other businesses should be invited; suggested having one meeting per year with all the managers of the hotels and solicit advice. Council Member Osborne stated he would be very interested in hearing comments given by other businesses. Council Member Kirk questioned if anyone is opposed to getting the La Quinta Hotel, SilverRock Resort and Old Town together immediately to discuss joint marketing strategies; would like to see it happen sooner than later, and not wait for July 1. Council Member Henderson questioned if staff has met with the Village for cooperative marketing. Ms. Carter stated this proposal is planned to begin for the next fiscal year but they can meet earlier. City Council Minutes 14 April 15, 2008 2. DISCUSSION OF OPTIONS REGARDING THE WIDENING OF FRED WARING DRIVE BETWEEN ADAMS STREET AND JEFFERSON STREET. Public Works Director Jonasson presented the staff report. In response to Council Member Henderson, Public Works Director Jonasson explained the designation to six lanes was changed in 2003 in recognition of the east/west corridor being developed along Fred Waring Drive. Engineering Consultant Nickerson explained in 1986 CVAG forecasted the traffic on Fred Waring Drive from Palm Desert to Indio to be a six-lane road. In response to Council Member Henderson, he further explained when Measure A was adopted in 1989 Fred Waring Drive was designated as six lanes; stated he doesn't know how long it has been listed as six lanes in the County General Plan. In response to Council Member Osborne, Public Works Director Jonasson confirmed the change of the curb line on the south side and last lane to the south is listed in Alternative No. 3. Public Works Director Jonasson confirmed the centerline of the street is the boundary line between the County and City of La Quinta. In response to Council Member Sniff, Public Works Director Jonasson confirmed the alternatives presented have been mainly developed by the County; stated staff does not have any additional alternatives at this time; stated there could be safer alternatives from an engineering view; explained the County's alternatives were developed from the standpoint of not disturbing the homes on the north side; and confirmed there could be a better option, but would be a derivative from the three alternatives presented. Council Member questioned if it would help to reduce the width of the median. Public Works Director Jonasson stated reducing the width would help, but it would be a challenge to install left-turn pockets and recommended not reducing it to less than 12 feet. Public Works Director Jonasson confirmed if the homes were left on the north side of the street, the three alternatives presented would be the best choice, in response to Council Member Osborne. Public Works Director Jonasson further explained the standard is 12 foot lanes next to the median, a minimum of 11 feet for through lanes, and outside lanes are 16-foot minimum width with a striped bike lane. City Council Minutes 15 April 15, 2008 In response to Council Member Osborne, Public Works Director Jonasson explained the project would begin construction in about 18 months as it has not gone through the design and environmental process. Council Member Osborne stated there is time to plan and install temporary striping in the meantime. Public Works Director Jonasson confirmed there are existing houses on the north side of Fred Waring Drive, in response to Council Member Sniff. City Manager Genovese stated there are 24 houses, with a few of them not facing Fred Waring Drive that would be affected if the street was widened to the ultimate width. Council Member Sniff stated the only way to obtain the best solution is to deal with the houses. Council Member Osborne stated the houses are on County property and we cannot mandate the houses to be moved. City Manager Genovese explained the County cannot widen the street under the best circumstances without removing the houses, and the City Council changing the General Plan and moving the centerline; stated once the project moves forward, the encroachment permit process will take at least 12 months; and once the restriping is completed and if we cannot come to an agreement with the County, the City may need to retract the encroachment permit. Mayor Adolph stated one of the problems is the County knew about the need for improvements and has allowed homes to be built. Council Member Henderson conveyed her agreement with the interim improvements; stated the City needs to lock the County into an agreement for overall funding for the improvements; stated the City would not be conducting eminent domain on the houses, and doesn't think the County will do it. Council Member Kirk conveyed his agreement with Council Member Sniff's suggestion to considering the acquisition of the right-of-way; would like to know how much the acquisition will cost; believes when Supervisor Wilson says they are committed to the ultimate improvements; would like to hear alternate recommendations from the City Engineer; and suggested moving forward with the project. Mayor Adolph stated Mr. Wilson is committed to the improvements concerning the County's property only; and conveyed his support for the restriping, but doesn't want to make a full commitment at this time. Council Member Henderson stated moving the center line may create noise, and result in looking into sound walls. City Council Minutes 16 April 15, 2008 City Manager Genovese summarized the direction of the City Council: 1) request the County to consider a fourth alternative and obtain the costs and projections; discuss the issuance of an encroachment permit and license agreement; proceed to obtain an indemnification from the County in the next few weeks; and obtain a commitment of funding for permanent improvements. Council Member Osborne stated the City needs to get the temporary striping done in the mean-time. City Manager Genovese stated the negotiations should not take too long. Council Member Sniff stated there is a need to look at both an immediate and comprehensive solution. Public Works Director Jonasson stated the design alternatives presented will impact the median when it raises the road bed to the north, and asked if the City Council would rather keep the median intact. Mayor Adolph requested to review a plan of how the changes would impact the street widening and the median. City Manager Genovese stated the City Council will have an opportunity to review the County's plan due to the change of the centerline when considering alternatives during the environmental process. The City Council recessed to and until 7:00 P.M. znn p_nn_ PUBLIC COMMENT -None PRESENTATIONS -None City Council Minutes 17 April 15, 2008 PUBLIC HEARINGS 1. PUBLIC HEARING TO CONSIDER A RESOLUTION ADOPTING THE FISCAL YEAR 2008/2009 THROUGH 2012!2013 CAPITAL IMPROVEMENT PROGRAM AND MAKING CERTAIN FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 33445(a). Public Works Director Jonasson presented the staff report. In response to Council Member Kirk, Public Works Director Jonasson described the difference between Phases II and III as Phase II is between Jefferson Street and Adams Street with street-widening improvements at three undeveloped properties and installing dual turn lanes at critical intersections; Phase III is from Point Happy to the westerly City limits; a six-lane facility will be created on Washington Street, relief of the rock fall hazard, and enhance the entrance to City. Mayor Adolph thanked staff for eliminating the traffic signal at Avenue 54 and Jefferson Street as it was not appropriate; addressed the median on Airport Boulevard, and suggested experimenting with the back nine greens (synthetic turf) for aesthetic purposes and bring color to the area. Public Works Director Jonasson stated there is $80,000 budgeted for DG and dirt and questioned if additional funding would be provided for installing synthetic turf. The Mayor declared the PUBLIC HEARING OPEN at 7:18 p.m. Helen Ready, 48-241 Calle Floristas, Secretary of the Board of Directors, Laguna De La Paz, related a request by members of the association to list concerns of a sound attenuation wall; and requested that no determination be made until all questions have been resolved by all parties. Kay Wolff, 77-227 Calle Ensenada, conveyed support of the allocation for improvements to the nature preserve; stated one year ago the City Council took action to remove the berm due to an incident; and thanked the City Council and staff for their efforts. There being no additional requests to speak, the Mayor declared the PUBLIC HEARING CLOSED at 7:21 p.m. Council Member Kirk stated he received an email from a commissioner regarding Highway 111; stated the City has been criticized about the look of Highway 111 and suggested allocating funds for a design study to redevelop portions of the area. City Council Minutes 18 April 15, 2008 Council Member Osborne stated the City Council discussed a design study a few years ago from a building standpoint, and stated it is a good idea to bring Phase II and III together. Council Member Henderson stated the City has an approved landscape design and it is not unusual to have it brought forward for review; not sure can have completed rapidly, but at least will have a starting document. Council Member Kirk requested the Community Services Department incorporate a sand volleyball court. Council Member Sniff stated he has been on the City Council throughout the development of Highway 111 and it has been successful; stated he has no objection to periodically reviewing the matter; supports improving the area if it is practical; and stated we are fortunate to have designed the area well. Mayor Adolph stated the auto dealers on Highway 111 won an architectural award for landscaping; conveyed support for making aesthetic improvements to the area. RESOLUTION NO. 2008-023 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA O:UINTA, CALIFORNIA, ADOPTING THE FISCAL YEAR 2008/2009 THROUGH 2012/2013 CAPITAL IMPROVEMENT PLAN AND MAKING CERTAIN FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 33445(a) AND CONSENTING TO THE EXPENDITURE OF FUNDS FOR THE IMPROVEMENTS. It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-023 as submitted. Motion carried unanimously. 2. CONTINUED PUBLIC HEARING TO CONSIDER ADOPTION OF RESOLUTION TO IMPOSE A GOLF CART PERMITTING FEE. Council Member Henderson stated staff is recommending removing the item from the calendar until further notice. MOTION - It was moved by Council Members Sniff/Henderson to table the matter of imposing a golf cart permitting fee. Motion carried unanimously. City Council Minutes 19 April 15, 2008 3. CONTINUED PUBLIC HEARING TO CONSIDER ADOPTION OF RESOLUTIONS AND ORDINANCES FOR: 11 CERTIFICATION OF AN ENVIRONMENTAL IMPACT REPORT; 2) EDEN ROCK AT PGA WEST SPECIFIC PLAN 83-002, AMENDMENT NO. 6; 3) GENERAL PLAN AMENDMENT 2008-107; 41 20NE CHANGE 2006-127; 5) TENTATIVE TRACT MAP 33226; 61 SITE DEVELOPMENT PERMIT 2006-852; AND 7) DEVELOPMENT AGREEMENT 2006-011, ASSOCIATED WITH DEVELOPMENT OF THE EDEN ROCK PROJECT INVOLVING PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT. Mayor Ado/ph recused himse/f from participating on this item due to a potential conf/ict of interest and left the dais. The staff report was presented by Planning Director Les Johnson and Redevelopment Consultant Frank Spevacek. In response to Council Member Osborne, Planning Director Johnson confirmed the right turn is specifically for westbound traffic on Avenue 54 when turning north onto Jefferson Street. Assistant City Manager-Development Services Evans presented the various proposals contained in the staff report. Council Member Kirk questioned how the TOT revenue would be the sar5ie under a system which credited an annual payment vs. no annual payment. Assistant City Manager-Development Services Evans stated there were some credits in the original proposal by staff; looked at every source of TOT collected in the City for non-hotel properties and looked at the total aggregate amount including all of the rentals; and stated it would be difficult to generate a little over the 5200,000 per year in TOT. In response to Council Member Henderson, City Attorney Jenson stated the formula based on the Revenue and Tax Code from the developer is more restrictive; staff's formula is more inclusive and covers more. Planning Director Johnson reviewed the alternatives for the City Council's consideration. Council Member Kirk referred to Page 9, 10 and 249 of the staff report and questioned how the 236-second delay is derived for the right turn from westbound Avenue 54 to Jefferson Street northbound. Planning Director Johnson explained a threshold point in a point of delay dramatically increases the time in comparison to the number of trips, and confirmed the traffic City Council Minutes 20 April 15, 2008 model is not the real world. Council Member Kirk stated in respect to traffic models, sometimes it's a matter of "garbage in, garbage out." Council Member Kirk questioned there being afour-minute delay at Avenue 54 and Jefferson Street. Planning Director Johnson explained although the condition doesn't currently exist, it does become a post 20/20 issue; if staff were to take out this particular movement, there will be a certain point this signal is warranted as additional trips are added. Council Member Kirk stated perhaps something is wrong with this particular calculation; stated the overall analysis is still wrong; stated cannot support the analysis or mitigation suggested by the flawed analysis; stated the challenge is the collection of the tax, and questioned if this has been done in other municipalities. Assistant City Manager-Development Services Evans confirmed other municipalities have collected transfer taxes; has heard of difficulty in collecting the tax, and would have to closely monitor it. Council Member Kirk questioned if there has been any administrative burden collecting an annual fee. Assistant City Manager-Development Services Evans stated the annual fee is intended to be collected by the homeowners; and stated the City has had good success with one project with a similar type fee. Council Member Kirk questioned if this fee is fair, and if staff expects more opposition from residents from a transfer tax or annual fee. Assistant City Manager-Development Services Evans explained there would be more opposition to an annual fee. In response to Council Member Kirk, Assistant City Manager-Development Services Evans confirmed the developer's revised proposal shows less money coming in the first 10 years and a little less in the first 20 years; he further confirmed the revised Eden Rock payment proposal generates more money after 30 years and a lot more after 40 years; and stated staff did not repeat the developer's proposal. Council Member Kirk further questioned if the long-term revenue potential is as important as the short term for the City. Assistant City Manager-Development Services Evans stated staff felt looking at 20 years was an appropriate measure; as groups question it in the future, the City Council may not be able to rely on it 20 to 40 years out. Council Member Kirk questioned if staff takes the short or long term view in other projects such as SilverRock Resort. Assistant City Manager- City Council Minutes 21 April 15, 2008 Development Services Evans stated staff reviews both short and long-term projections. Council Member Henderson stated the City recently conducted a major traffic study of all streets that resulted in increased speeds in a variety of areas; commended staff for considering the signal at Avenue 54 and Jefferson Street for the future; and asked if another traffic engineer is used when the City Council has a concern with a traffic study. Public Works Director Jonasson stated staff usually works with the developers' traffic engineer to come to an agreement. City Attorney Jenson stated City staff and the Traffic Engineer Consultant have reviewed the study numerous times. Council Member Henderson stated she is looking to see what other options the City has for the future. Public Works Director Jonasson explained the distribution of trips seems to be an area relied upon heavily; stated even though there is a study that doesn't appear to match what is going on presently, there is a change in the road condition because of the opening of Madison Street at Avenue 52; stated this is a preliminary analysis and will probably be reviewed two more times. Council Member Henderson stated the developer has already agreed to accept the original condition, and the City Council, after listening to testimony at the last public hearing, saw some merit in reaching a compromise; we keep hearing about potential for complications with either formula, and it seems to be a policy decision as to whether or not we are going to enter into this type of agreement anymore with anyone; stated she hears compromise, but observes one party going all the way and complimenting everyone else for compromising; stated have not only reached an acceptable compromise that gives a certain amount of certainty, and passes the burden off between seller and buyer; we may hear from residents in the future, but people need to understand what they are buying; stated it is time to move this project forward and not belabor this item any longer. Council Member Sniff stated he has listened to his colleagues and the primary question is what is fair and reasonable, and if there has been a compromise; stated the traffic issue should not be the determining factor; stated the City Council needs to move forward with a decision the developer can live with, and the developer has indicated he can live with the first proposal; stated he does not believe $300 a year is going to compel people to rent their houses; stated the City Council has an obligation to the City and developers to come to a fair, logical, and defensible decision. City Council Minutes 22 April 15, 2008 The Mayor Pro Tem declared the PUBLIC HEARING OPEN at 8:23 p.m. Louis Swart, 2001 Northwest Jasmine Lane, Portland, Oregon, stated project has been four years in the making, and has brought so much unity on a situation rife with division; received support from various homeowners' associations, but as staff gained momentum, has received less support; stated the door was left open for discussion and both sides have compromised; commended Jim and Chuck and Rich for their constructive leadership for the PGA West residents; stated the proposed agreement satisfies both sides and is able to forge a workable and constructive consensus; stated staff is working on one vital issue, the annual mitigation fee; stated the developer has appealed to staff to find common ground regarding the annual mitigation fee. Jim Vaughn stated each proposal by staff includes some form of annual fee, and he gave a presentation on a proposed TOT mitigation package. He referenced four goals he feels the City Council wanted them to address, with the fourth being to be fair to future Eden Rock residents. Council Member Henderson stated she doesn't recall the City Council voicing the fourth goal, and Council Member Kirk agreed. Council Member Kirk referred to the differences of the proposals, and questioned if there is a difference in the TOT between the developer's proposal and staff's second proposal. Mr. Vaughn explained it overstates the difference between the developer's proposal and the original development agreement. Council Member Kirk questioned staff if Mr. Vaughn's assessment of the TOT is fair. Assistant City Manager-Development Services Evans stated staff would have negotiated for a higher amount. In response to Council Member Henderson, Mr. Vaughn confirmed the credit was afforded to the owner of the unit and was perceived to be an incentive to rent the unit; and explained the credit benefits both the existing residents and the City as there is no credit against the annual fee. Council Member Henderson asked if the developer would prefer something other than a sunset clause. Mr. Vaughn stated they would prefer having something in perpetuity but not increasing the amount every year. Council Member Henderson stated she envisions a unit being built and sold for the first time in 2010 with a deed restriction for 10 years and in 2020 City Council Minutes 23 April 15, 2008 going away. Mr. Vaughn explained the difficulty is a conditional sunset clause. Council Member Henderson stated we can come up with a mode-ing program to make all of this work, but is not sure it is worth having a discussion on the sunset clause. City Attorney Jenson stated it is very easy to eliminate the sunset clause and strike it from the agreement. Council Member Henderson stated it is easy to strike it from the agreement, but it is a bargaining tool at this point. Mr. Vaughn stated it the concept is a sunset in 10 years, the CPI would not be a concern. City Attorney Jenson stated as a matter of record, all of the City's annual fees have either a CPI included or tracked to the room rate that is not increased higher than the CPI. Council Member Henderson stated she leans toward the proposal utilizing the State Revenue and Taxation Code, and questioned if it would be easier to follow. City Attorney Jenson stated the language is simple and the same language used in City documents when picking up transfers, and staff's goal is to cover as much as possible. Mr. Vaughn stated the goal'of the City's language is to make sure whoever the property is transferred to has all the same obligations under the development agreement. It doesn't have anything to do with capturing revenue in types of transfers that are truly a change of ownership. In response to Council Member Sniff, Mr. Vaughn confirmed an initial sale payment of a unit is .5%; and the City will collect another .5% on the resale price. Council Member Sniff stated there are two issues that are paramount: 1) how the City receives the revenue it is entitled to; and 2) legal justification for the compensation received. Chuck Gottier, 54-799 Riviera, member of the PGA West Committee, conveyed his dislike of the annual fee; suggested raising the transfer fee to .55% to generate revenue; stated prudent buyers will not like the annual fee, and it will place a burden on the homeowners' association; and stated he would like Eden Rock to be like any other community in PGA West. City Council Minutes 24 April 15, 2008 Richard Stenton, 87-706 Spanish Bay, stated the annual fee would place a burden for collection; stated the developer will put the City in a position to collect revenue in the next five years; and suggested collecting the TOT and not an annual fee. Jim Cox, 55-914 Brea Burn, conveyed disappointment that staff has not come to a final settlement with the developer; stated he is surprised the annual fee is included; and requested the annual fee be removed. Richard Zeilenga, counsel for the applicant, stated looking at the big picture, no one comes out a loser; stated this effort has produced better results for the City; stated the goal is to have no annual fee and would be relatively fair to the residents of Eden Rock. Mayor Pro Tem Osborne questioned if the development agreement can be adequately enforced by the developer and not come back in a year. Mr. Zeilenga stated one of the proposals is simple, and in general, the development agreement should be enforceable. In response to Council Member Henderson, City Attorney Jenson confirmed the homeowners' association will collect the fees. Council Member Henderson stated the developer would need to negotiate with the homeowners' association for collecting the fee. City Manager Genovese stated one of the homeowners present suggested a higher percentage and may equalize; and can also eliminate the sunset clause because of the higher percentage. Council Member Henderson asked if staff tried to negotiate a higher percentage fee. Assistant City Manager-Development Services Evans stated staff proposed a higher up-front fee at the close of escrow, but to equalize would have to double the initial fee. There being no further requests to speak, the Mayor Pro Tem declared the PUBLIC HEARING CLOSED at 9:29 p.m. Council Member Sniff stated he would like to see the ultimate in simplicity and fairness; would like to avoid the term tax and stick with the transfer fee, and elevate the transfer fee one half a percent to a higher number up front for the first transaction and modification back to .5% for subsequent transactions; suggested 1 % upfront and .5% thereafter; need to look to our own interest and what is ultimately fair to the developers, residents in PGA West, and to the City. City Council Minutes 25 April 15, 2008 In response to Council Member Henderson, Assistant City Manager- Development Services Evans confirmed doubling the upfront fee would almost equate the suggested 1 % amount. Council Member Kirk stated it is time to move on with this project; stated in the big picture we are almost there and have come a long way; gave credit to the committee and staff for all their hard work; he is opposed to an annual fee or tax; agrees with the indication there are complications in collecting the fee; better way to do this is associated with the applicant's latest proposal, which is relatively neutral and makes sense to the applicant, City, and PGA West residents; stated we are close enough relating to the fee amount, and the applicant's proposal will generate more revenue; conveyed disappointment about not reviewing the transfer tax; stated he supports the applicant's request to rely on the Taxation Code to determine a transfer; suggested accepting the applicant's approach to the TOT mitigation with the #ollowing changes: 1) the upfront fee #or the small units be increased for the Village units from 52,500 to 53,000, Courtyard units from 53,000 to 54,000, and the Manor units from 53,500 to 55,000; 2) increase the transfer tax from .5% to .55°~6 and accept the applicant's definition of transfer; 3) simplify the upfront fee; and 4) protect the PGA West community from some of their concerns regarding the annual fee. He also reaffirmed his position about the traffic signal on Avenue 54 and Madison Street. Council Member Henderson agrees the process should be kept simple and with accepting the Taxation Code definition of a transfer; stated she is not sure which is easier to use 1 °i6 or the 53,000, 54,000, and 55,000. City Manager Genovese stated we have an estimate on the .5%, as the other suggestion is difficult to compute at this time. Mayor Pro Tem Osborne questioned if the developer is agreeable to the 1 % fee as suggested. The Mayor Pro Tem RE-OPENED THE PUBLIC HEARING at 9:42 p.m. Louis Swart stated the 1 % is 510,000, and the other developments will have a 510,000 advantage, but likes where the City Council is going; and suggested increasing the upfront fee to .75% and increasing to .55% on the resale. There being no additional public testimony, the Mayor Pro Tem declared the PUBLIC HEARING CLOSED at 9:44 p.m. City Council Minutes 26 April 15, 2008 Council Member Sniff stated a percentage is better than a fixed number and is the safest unit to work with; and stated he heard a 1 % upfront fee would be reasonable, fair, and protect the City and the developer, and a .55% on a resale. Mayor Pro Tem Osborne suggested looking at the traffic issue in five years and if there are concerns to conduct a study; supports using the Taxation Code relating to transfers; commented on the need for the project to be successful whether we approve the .75% or 1 % as proposed; and understands the City Council is in agreement about removing the annual fee. Council Member Henderson conveyed agreement with the suggestions made and supports the .75% and .55%; supports the traffic study and the requirements in the conditions as submitted; and stated her interpretation is the item would come back to the City Council with respect to the release of #unds. Council Member Osborne conveyed his support of the .75% for the upfront fee and .55% on the resale fee. RESOLUTION NO. 2008-024 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, CERTIFYING A SUBSEQUENT ENVIRONMENTAL IMPACT REPORT (STATE CLEARINGHOUSE #2007061056) PREPARED FOR SPECIFIC PLAN AMENDMENT 83-002, AMENDMENT NO. 6; GENERAL PLAN AMENDMENT 2006-107; ZONE CHANGE 2006-127; TENTATIVE TRACT 33226; SITE DEVELOPMENT PERMIT 2006-852; AND DEVELOPMENT AGREEMENT 2006-011 AS BEING ADEQUATE AND COMPLETE, RECOGNIZING THE OVERRIDING CONSIDERATIONS TO CERTAIN ADVERSE ENVIRONMENTAL IMPACTS, AND RECOGNIZING THE SIGNIFICANT ADVERSE ENVIRONMENTAL IMPACTS WHICH CANNOT BE AVOIDED BUT WHICH CAN BE REASONABLY MITIGATED IF THE PROPOSED PROJECT IS IMPLEMENTED (CROWNE POINTE PARTNERS, LLCJ City Attorney Jenson addressed Section No. 6 of the resolution in reference to a Notice of Determination, and explained in order to approve the project there must be an executed Development Agreement per the Specific Plan; and she recommended the Notice of Determination be delayed until a development agreement is executed. City Council Minutes 27 April 15, 2008 It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-024 as amended (per the City Attorney's instructions). Motion carried 3-1-1, Council Member Kirk dissenting, and Mayor Adolph absent. RESOLUTION NO. 2008-025 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA O.UINTA, CALIFORNIA, GRANTING APPROVAL OF GENERAL PLAN AMENDMENT 2006-107, FROM TOURIST COMMERCIAL TO RESORT MIXED USE FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (CROWNE POINTE PARTNERS, LLC.) City Attorney Jenson stated in order to keep in compliance with the Specific _ Plaa requirements, the effective date of each resolution shall not take effect until and unless a Development Agreement is executed by all parties and recorded with the Riverside County Recorder's office. It was moved by Council Members Henderson/Sniff to adopt Resolution No. 2008-025 as amended (per the City Attorney's instructionsl. Motion carried 4-0-1, Mayor Adolph absent. MOTION - It was moved by Council Members Sniff/Henderson to take up Ordinance No. 456 by title and number only and waive further reading. Motion carried 4-0-1, Mayor Adolph absent. ORDINANCE NO. 456 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING A REVISION TO THE LA QUINTA ZONING MAP FOR CERTAIN REAL PROPERTY GENERALLY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (ZONE CHANGE 2006-127 -CROWN POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to introduce Ordinance No. 456 on first reading. Motion carried by the following vote: City Council Minutes 28 April 15, 2008 AYES: Council Members Henderson, Kirk, Sniff, Mayor Pro Tem Osborne NOES: None ABSTAIN: None ABSENT: Mayor Adolph RESOLUTION NO. 2008-026 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF AMENDMENT NO. 6 TO PGA WEST SPECIFIC PLAN 83-002 TO ALLOW A 264-UNIT RESIDENTIAL CONDOMINIUM/TOWNHOME PROJECT FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Henderson/Sniff to adopt Resolution No. 2008-026 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. RESOLUTION NO. 2008-027 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF THE SUBDIVISION OF A 42-ACRE PARCEL INTO A 264-UNIT RESIDENTIAL CONDOMINIUM/TOWNHOME SITE FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (TENTATIVE TRACT MAP 33226 - CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-027 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. City Council Minutes 29 April 15, 2008 RESOLUTION NO. 2008-028 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA 0!UINTA, CALIFORNIA, GRANTING APPROVAL OF DESIGN GUIDELINES TO ALLOW THE DEVELOPMENT OF A 264-UNIT RESIDENTIAL CONDOMINIUM/ TOWNHOME PROJECT FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (SITE DEVELOPMENT PERMIT 2006-852 - CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-028 as amended (per the City Attorney's instructions. Motion carried 4-0-1, Mayor Adolph absent. MOTION - It was moved by Council Member Sniff to take up Ordinance No. 457, as modified (.75% up front, .55% resale and revise to use the Revenue and Taxation Code to identify transfers) by title and number only and waive further reading. City Attorney Jenson stated a development agreement which reflects the staff's proposal has been drafted, and recommended it be attached to the ordinance; and further stated staff will modify the agreement to include the .75% up front fee, .55% on resale and to use the Revenue and Taxation Code to identify transfers, to be in compliance for first reading of the ordinance. The motion was seconded by Council Member Kirk. Motion carried 4-0-1, Mayor Adolph absent. ORDINANCE NO. 457 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT 2006-011 BY AND BETWEEN THE CITY OF LA OUINTA AND CROWN POINTE PARTNERS, LLC. (EDEN ROCK AT PGA WEST). It was moved by Council Members Sniff/Kirk to introduce Ordinance No. 457 on first reading as modified (.75% up front, .55% resale and revise to use the Revenue and Taxation Code to identify transfers). Motion carried by the following vote: City Council Minutes 30 April 15, 2008 AYES: Council Members Henderson, Kirk, Sniff Mayor Pro Tem Osborne NOES: None ABSTAIN: None ABSENT: Mayor Adolph Mayor Pro Tem Osborne recessed the City Council meeting. Mayor Adolph reconvened the meeting. REPORTS AND INFORMATIONAL ITEMS -- CVAG Public Safety Committee -Council Member Kirk stated the Committee heard presentations on the plans for the Eisenhower Medical Center facility in La Quinta as well as in Rancho Mirage. Animal Campus Commission -Council Member Henderson reported the Animal Campus Commission will be holding their annual luncheon on Monday, April 21, 2008. League of California Cities -Council Member Henderson reported she attended the Revenue and Taxation Committee meeting, and stated Chief of Staff Russell Lowry was the speaker; stated caution and advice was given to cities that have reserve accounts to encumber those accounts; and stated there was concern of encumbering reserve accounts with loans. C.V. Conservation Commission -Council Member Sniff reported they took the following actions: approved CVAG's Director of Services as Auditor; submitted an application for Joint Powers Insurance Authority; approved sending the employment of the acquisition manager to the Executive Committee; and C.V. Mountains Conservancy was chosen as the agency to monitor the acquisitions of land, etc. CVAG Energy & Environmental Resources Committee - Council Member Sniff reported the Committee approved goals for the next year. CVAG Human Community Resources Committee - Council Member Osborne reported the Committee continues to address the usual social challenges in the desert, and continues to look into providing mental health, food, and medical services. City Council Minutes 31 April 15, 2008 Jacqueline Cochran Regional Airport Authority - Council Member Osborne reported the Authority is requesting funding for the upcoming air show. CVAG Homelessness Committee - Council Member Osborne reported the Committee has proposed purchasing property in Palm Springs, and stated the County is looking into purchasing the property; the County has established a formula for each City to contribute. Finance Director John Falconer reviewed the Finance Committee discussion on identifying various funding sources: private donations, CDBG funds, State and local grants, general fund; stated the County is willing to increase pass-through- agreement amounts; reported the County is not interested in tax revenue generated outside; explained the possibility of utilizing set-aside funds from Redevelopment; explained three fiscal matters: purchase of building off Indian Boulevard and Interstate 10; wilt be moving forward in July or August with a bond measure; will --use the building for some other purpose or sell it if all Cities do not participate. In response to Council Member Henderson, the facility will continue to accept homeless people from all areas if the City does not participate with funding the facility. Finance Director Falconer confirmed the City of La Quinta is the second highest contributor; stated the County wants to recommend the CVAG formula, which is weighted by population and assessed evaluation, and the City of La Quinta has the second highest assessed evaluation. City Manager Genovese stated the general discussion was that the County is looking for funding because they don't have any general fund money; stated the next step is not clear; and stated no answer was given to the question of what would happen if the City of La Quinta did not participate in providing funding. Council Member Osborne explained the County is trying to obtain a grant; stated he would not commit the City of La Quinta based on the formula established; stated both the Cities of Coachella and Indio were not active in the discussion. Council Member Henderson suggested adopting a resolution approving the County to spend 5400,000 of Redevelopment funds that's generated out of the City of La Quinta. Council Member Osborne stated the Cities of Palm Springs, Cathedral City, Rancho Mirage and Palm Desert will look to us for help as they will benefit more than the City of La Quinta. City Council Minutes 32 April 15, 2008 Council Member Kirk stated Council Member Henderson's suggestion may be something to pursue; and suggested having a silent dialogue with the City of Coachella and Indio; and stated he is not opposed to helping non-profit organizations to do good things, but it is a little wearing of helping government. Council Member Osborne stated he is sure the County will come back with operating needs as well. Council Member Kirk suggested talking to the City of Coachella and making a joint effort for the East Valley. Council Member Sniff stated the City cannot support every person who is in need. -All-other reports were noted and filed. DEPARTMENT REPORTS 2-A. REPORT ON HIGHWAY 111/RIGHT-OF-WAY ACQUISITION OPTIONS. City Attorney Jenson stated she was available to address any questions from the City Council. In response to Council Member Osborne, City Attorney Jenson stated there has been no recent discussion with the family. Public Works Director Jonasson stated staff has not spoken to the Benino family since November 2007. Council Member Henderson conveyed dislike for not having contact with the family. Public Works Director Jonasson explained the family is at odds with one another and they anticipate being bought out through condemnation. In response to Council Member Henderson, City Attorney Jenson stated the last time the City purchased property from the Benino family was many years ago, and the City paid $15 or S 16 per square foot. Council Member Henderson stated this piece of property is a danger and the City should be in a position to take some kind of action to secure that property; and stated the owner cannot do anything with the property other than what the City has proposed to do with it. City Council Minutes 33 April 15, 2008 City Attorney Jenson stated there is no question the City can acquire the property through aright-of-way acquisition; stated we can pursue the acquisition or attempt to make contact with the family. Mayor Adolph questioned if there is a way to obtain an appraised value. City Attorney Jenson stated the City has an appraiser available to provide services. MAYOR AND COUNCIL MEMBERS' ITEMS Mayor Adolph stated he has received a response to the letter to the Governor regarding early release of prisoners, and has written another letter; and has been contacted by several directors who could not answer how they are going to live. Mayor Adolph stated residents at PGA West were billed for trash services; and read a letter received from Burrtec in response to the residents. Council Member Osborne reported he will be absent from the May.6th City Council meeting as he will be attending his nephew's graduation from Fort Benning. The City Council recessed to Closed Session as delineated on Page 1. The City Council meeting was reconvened with no decisions being made in Closed Session which require reporting pursuant to Government Code Section 54957.1 (Brown Act-. ADJOURNMENT There being no further business, the meeting was adjourned. Motion carried unanimously. Respect Ily submitted, ~ i~~~'/1~~2~ /~ VERONICA J ONTECINO, City Clerk City of La Quinta, California