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2009 03 17 RDARedevelopment Agency agendas are available on the City' web page @ www.la-quinta.org REDEVELOPMENT AGENCY AGENDA CITY COUNCIL CHAMBERS 78-495 Calle Tampico La Quinta, California 92253 Regular Meeting TUESDAY, MARCH 17, 2009 3:00 P.M. Closed Session / 4:00 P.M. Open Session Beginning Resolution No. RA 2009-001 CALL TO ORDER Roll Call: Agency Board Members: Adolph, Franklin, Henderson, Sniff, and Chairman Kirk PUBLIC COMMENT At this time, members of the public may address the Redevelopment Agency on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CLOSED SESSION NOTE: Time permitting the Redevelopment Agency Board may conduct Closed Session discussions during the dinner recess. In addition, persons identified as negotiating parties are not invited into the Closed Session meeting when acquisition of real property is considered. 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 A PORTION OF 525± ACRES LOCATED AT THE SOUTHWEST CORNER OF AVENUE 52 AND JEFFERSON STREET. PROPERTY OWNER/NEGOTIATOR: LDD SILVERROCK, LLC., THEODORE R. LENNON. JR. 001 Redevelopment Agency Agenda 1 March 17, 2009 2. 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 REAL PROPERTIES IDENTIFIED AS APNs: 649- 030-016, AND -017. PROPERTY OWNERS/NEGOTIATORS: DESERT CITIES DEVELOPMENT, INC., MICHAEL SHOVLIN; AND VIP MOTORCARS, JERRY JOHNSON. RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. 4:00 P.M. PUBLIC COMMENT At this time members of the public may address the Redevelopment Agency on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CONFIRMATION OF AGENDA APPROVAL OF MINUTES 1. APPROVAL OF MINUTES OF MARCH 3, 2009. CONSENT CALENDAR NOTE: Consent Calendar items are considered to be routine in nature and will be approved by one motion. 1. APPROVAL OF DEMAND REGISTER DATED MARCH 17, 2009. 2. RECEIVE AND FILE TREASURER'S REPORT DATED JANUARY 31, 2009. 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT DATED JANUARY 31, 2009. 4. APPROVAL OF A CONTRACT AMENDMENT WITH RBF CONSULTING FOR CIVIL ENGINEERING SERVICES FOR SILVERROCK RESORT, PHASE II CLUBHOUSE. 002 Redevelopment Agency Agenda 2 March 17, 2009 5. ACCEPTANCE OF THE PM10 CONTROL AND TEMPORARY PARKING LOT AT SILVERROCK RESORT, PROJECT NO. 2008-07. BUSINESS SESSION 1. CONSIDERATION OF ALTERNATIVES FOR THE SILVERROCK RESORT UNDEVELOPED PROPERTY. A. MINUTE ORDER ACTION 2. CONSIDERATION OF A LETTER IN OPPOSITION OF SB 93 RELATING TO THE USE OF REDEVELOPMENT FUNDS ON PUBLIC FACILITIES. A. MINUTE ORDER ACTION STUDY SESSION — NONE CHAIR AND BOARD MEMBERS' ITEMS — NONE PUBLIC HEARINGS — NONE ADJOURNMENT The next regular meeting of the Redevelopment Agency will be held on April 7, 2009, commencing with closed session at 3:00 p.m. and open session at 4:00 p.m. in the City Council Chambers, 78-495 Calle Tampico, La Quinta, CA 92253. Redevelopment Agency Agenda 3 March 17, 2009 003 DECLARATION OF POSTING I, Veronica Montecino, City Clerk of the City of La Quinta, do hereby declare that the foregoing agenda for the La Quinta Redevelopment Agency meeting of March 17, 2009, was posted on the outside entry to the Council Chamber at 78-495 Calle Tampico and on the bulletin boards at 51-321 Avenida Bermudas and 78-630 Highway 111, on March 13, 2009. DATED: Mayeh 13, 2009 VERONICA J.PON-fEtINO, ty Clerk City of La Quinta, California Public Notice Any writings or documents provided to a majority of the Redevelopment Agency regarding any item on this agenda will be made available for public inspection at the City Clerk counter at City Hall located at 78-495 Calle Tampico, La Quinta, California, 92253, during normal business hours. 004 Redevelopment Agency Agenda 4 March 17, 2009 L/�U.tM127'' • a, COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Demand Register Dated March 17, 2009 RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and File the Demand Register Dated March 17, 2009 of which $6,058,581.52 represents Redevelopment Agency Expenditures AGENDA CATEGORY: BUSINESS SESSION CONSENT CALENDAR STUDY SESSION PUBLIC HEARING PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA 005 a •� X4rV WNNW OF COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Receive and File Treasurer's Report as of January 31, 2009 RECOMMENDATION: It is recommended the Redevelopment Agency Board: Receive and file. AGENDA CATEGORY: BUSINESS SESSION: oo�� CONSENT CALENDAR: o°-- STUDY SESSION: 101:311Cal: IaM91a" PLEASE SEE RELATED BUSINESS SESSION ITEM ON CITY COUNCIL AGENDA //. ce-iht 4 4v Qumrry COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Receive and File Revenue and Expenditure Report for January 31, 2009 RECOMMENDATION: Receive and File BACKGROUND AND OVERVIEW: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 3 STUDY SESSION: PUBLIC HEARING: Receive and File the January 31, 2009 Statement of Revenue and Expenditures for the La Quinta Redevelopment Agency. Respectfully submitted, (lC( John M. Falconer, Finance Director Approved for submission by: Thomas P. Genovese, Executive Director Attachments: 1. Revenue and Expenditures Report, January 31, 2009 007 LA QUINTA REDEVELOPMENT AGENCY REVENUE SUMMARY PROJECT AREA NO. 1: LOWIMODERATE TAX FUND: Tax Increment Allocated Interest Non Allocated Interest Miscellaneous revenue Non Allocated Interest LQRP-Rent Revenue Home Sales Proceeds Sale of Land Sewer Subsidy Reimbursements Rehabilitation Loan Repayments 2nd Trust Deed Repayment Transfer In TOTAL LOWIMOD TAX DEBT SERVICE FUND: Tax Increment Allocated Interest Non Allocated Interest Interest - County Loan Interest Advance Proceeds Transfers In TOTAL DEBT SERVICE 0710112008-0113112009 REMAINING % BUDGET RECEIVED BUDGET RECEIVED 11,501,20000 4.892.43908 6,608,760.92 42.540% 53,00000 (24,298.05) 77,29805 45.850% 000 88829 (888.29) 0.000% 0.00 000 coo 0000% 000 0.00 000 0.000% 225,00000 143,711.00 81,289.00 63870% 150.00000 0.00 150,000.00 0.000% 000 0.00 0.00 0000% 0.00 603.34 (603 34) 0000% 000 0.00 000 0.000% 0.00 92,50000 (92,500,00) 0.000% 000 000 0.00 0.000% 11,929,20000 5,105,843.66 5823,356.34 42,800% 46,004,900.00 19,569,75627 26,435,14373 42.540% 173,600.00 121,244.73 52,35527 69.840% 0.00 000 0.00 0.000% 0.00 0.00 0.00 0.000% 000 0.00 0.00 0.000% 4,444,479.00 2,951541.56 1,49293744 66.410% 50,622,97900 22,642,54256 27,980,436.44 44.730% CAPITAL IMPROVEMENT FUND - NON-TAXABLE 0.00 306.220.44 (306.220.44) 0.000% Pooled Cash Allocated Interest 300.000.00 162,79406 137,205.94 54.260% Non Allocated Interest 0.00 0.00 000 0000% Developer Agreement Funding 3,894,600 00 000 3,894,600.00 0000% Sale of Land Proceeds 0.00 0.00 0.00 0.000% Rental Income 15,000,000 00 0.00 15,000,000 00 0,000% Transfers In TOTAL CAPITAL IMPROVEMENT 19,184 500.00 469,014.50 18,725,585 50 2 440% LA QUINTA REDEVELOPMENT AGENCY REVENUE SUMMARY PROJECT AREA NO.2: LOW/MODERATE TAX FUND: Tax Increment Allocated Interest Non Allocated Interest Developer funding Vista Dunes MHP Rental Rev 2nd Trust Deed Repayment ERAF Shift - Interest Sale of Land MireBores Note Repayment Transfer In TOTAL LOWIMOD TAX 2004 LOWIMODERATE BOND FUND: Allocated Interest Home Sale Proceeds Non Allocated Interest Transfer In TOTAL LOWIMOD BOND DEBT SERVICE FUND Tax Increment Allocated Interest Non Allocated Interest Interest Advance Proceeds Transfer in TOTAL DEBT SERVICE CAPITAL IMPROVEMENT FUND: Allocated Interest Non Allocated Interest Sale of lend Transfers In TOTAL CAPITAL IMPROVEMENT 0710112008. 0113112009 REMAINING % BUDGET RECEIVED BUDGET RECEIVED 5,872,700.00 2,793,08827 3,079,61173 47.560% 300.500.00 164,74140 215,758.60 43.300% 0.00 0.00 000 0.000% 0.00 0.00 000 0.000% 0.00 0.00 0.00 0.000% 0.00 40,458 25 (40,458 25) 0.000% 0.00 0.00 000 0.000% 000 000 0.00 0.000% 0.00 0.00 0.00 0.000% o.00 000 000 0000% 6,253.200.00 2,998,28792 3,254,91208 47.950% 0.00 0.00 000 0.000% 000 000 0.00 0.000% 102,00000 159.705.05 (57,705.05) 156.570% 000 000 000 0000% 102 000 00 159 705 OS (57,705 0,5) 156.570% 23,490,800.00 11,172,353.13 12,318,446.87 47.560% 000 155,687.72 (155.687.72) 0.000% 000 0.00 000 0.000% 0.00 0.00 0.00 0.000% 1953,59800 1,247,937.28 70$,660.72 63.880% 25,444,39800 14575197813 12,888,41987 49.430% 84,00000 24,94604 59,053.96 29.700% 000 000 000 0.000% 0.00 0.00 000 0,000% 000 000 001) 0.000% 54,00000 24,946.04 59,05396 29.700% 008 2 07/01/2008 - 01/31/2009 ELA XPENDITURE REDEVELOPMENT AGENCY ADJUSTED REMAINING EXPENDITURE SUMMARY BUDGET EXPENDITURES ENCUMBERED BUDGET PROJECT AREA NO. 1: LOW/MODERATE TAX FUND: PERSONNEL 0.00 13033.9 SERVICES 8:369.00 328,360.00 5.07 215,33000 0.00 000 113,033.93 0.00 BUILDING HORIZONS LQ RENTAL PROGRAM 0.00 275,000 00 000 113,498.59 000 161,501.41 2nd TRUST DEED PROGRAM 000 0.00 000 0.00 0.00 000 000 BUILDING HORIZONS LAND ACQUISITION 0.00 4,371,45300 4,130,708.50 0.00 240,744.50 LOW MOD HOUSING PROJECTS 000 400,00000 0.00 189,411.73 000 000 0.00 210,58827 FORECLOSURE REIMBURSEMENT TO GEN FUND 706,271 00 411,992.63 000 0.00 294,278.37 1,492,937.14 TRANSFERS OUT 4444,47900 951 2,,541.56 TOTAL LOW/MOD TAX DEBT SERVICE FUND: SERVICES 403200.00 487,92840 0.00 (84,728.40) BOND PRINCIPAL 2960:000.00 7:330,18900 2,960,000 00 3,709,24513 000 0.00 0.00 3,620,943.87 BONDINTEREST INTEREST CITY ADVANCE 1,020,000 00 595,000.00 000 425,000 00 PASS THROUGH PAYMENTS 25,404,680.00 9,510,571.57 000 15,894,108 43 ERAF SHIFT TRANSFERS OUT 000 18,968,396 00 0.00 2153300.85 0.00 0.00 000 16,432 705.15 2905 TOTAL DEBT SERVICE CAPITAL IMPROVEMENT FUND: PERSONNEL SERVICES LAND ACQUISITION ASSESSMENT DISTRICT ADVERTISING -ECONOMIC DEV ECONOMIC DEVELOPMENT BOND ISSUANCE COSTS CAPITAL - BUILDING REIMBURSEMENT TO GEN FUND TRANSFERS OUT TOTAL CAPITAL IMI LA QUINTA REDEVELOPMENT AGENCY EXPENDITURE SUMMARY PROJECT AREA NO. 2: i10000 0.00 000 1,100.00 935:215.00 369,826 76 000 565,388 24 0.00 000 000 0.00 0.00 000 000 0.00 000 0.00 0.00 0.00 000 0.00 0.00 0.00 000 000 0.00 0.00 9,000.00 000 000 9,000.00 294,883.00 172,015 69 000 122,867 31 co c11 c1c nn 1 071 53n nR 000 57.550,284.92 07/01/2008 - 01/31/2009 ADJUSTED REMAINING BUDGET EXPENDITURES ENCUMBERED BUDGET LOWIMODERATE TAX FUND: 700.00 000 000 700.00 PERSONNEL SERVICES 512,828.00 326,977.10 0.00 185,850.90 2ND TRUST DEEDS 0.00 0.00 0.00 2,275.00 0.00 000 0.00 (2,275.00) LOW MOD HOUSING PROJECTS FORECLOSURE ACQUISITION 100,000.00 000 000 100,00000 VISTA DUNES PARK 50,000 00 0.00 0.00 0.00 50,000.00 000 LANDACQUISITION REIMBURSEMENT TO GEN FUND 0.00 0.00 150,251.13 TRANSFERS OUT g311,00900 978,7152 74.97 0.00 30.00 TOTAL LOW/MOD TAX 2004 LOWIMODERATE BOND FUND HOUSING PROGRAMS 3,052,800.00 1,787,00000 0.00 1,265,800.00 LAND 0.00 000 0.00 0.00 TRANSFERS OUT 12,380,202.00 8,509,9" 5' 000 2,880,242 50 TOTAL LOWIMOD BOND DEBT SERVICE FUND: SERVICES 208,300.00 262,806.80 0.00 (53,506.80) BOND PRINCIPAL 115,000.00 305,18400 115,000.00 153,871.25 000 000 0.00 151,312.75 BONDINTEREST INTEREST CITY ADVANCE 1658,52800 966,308.00 000 690,22000 PASS THROUGH PAYMENTS 19:248,78700 4,757,104.12 000 100 14,491,662.88 705,660.72 TRANSFERS OUT 1,953,598.00 1,247,937.28 coo TOTAL DEBT SERVICE CAPITAL IMPROVEMENT FUND: 700.00 000 0.00 700.00 PERSONNEL SERVICES 286,413.00 127,06402 0.00 159,348.98 CAPITAL ECONOMIC DEVELOPMENT ACTIVITY 0.00 0.00 000 0.00 0.00 0.00 000 0.00 REIMBURSEMENT TO GEN FUND 60,741.00 35,432.81 0.00 25,308.19 59,060.39 TRANSFERS OUT 397261.00 338,200.61 0.00 TOTAL CAPITAL IMPROVEMENT 009 3 F. cF`y OF TK4'O COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Approval of a Contract Amendment with RBF Consulting for Civil Engineering Services for SilverRock Resort, Phase II Clubhouse RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Approve an amendment to the Professional Services Agreement with RBF Consulting to provide additional civil engineering services in an amount not -to - exceed $15,000 and authorize the Executive Director to execute the amendment. FISCAL IMPLICATIONS: The SilverRock Resort Clubhouse is included in the 2008-2009 Capital Improvement Program. Professional Services Agreement (PSA) Amendment No. 4 is included as Attachment 1. The Amendment is in an amount not -to -exceed $15,000, and will be charged to the "Engineering" category of the SilverRock Resort Clubhouse project, account number 401-1774-551.35-07. BACKGROUND AND OVERVIEW: By way of background, on August 1, 2006, the Agency Board approved a professional services agreement ("PSA") with RBF Consulting in the amount of $602,200 to provide initial civil engineering services for the SilverRock Resort, Phase II project, primarily related to infrastructure design. On May 15, 2007, the Agency Board approved a PSA Amendment No. 1 in the amount of $942,950 to RBF Consulting for additional engineering services, which were not included in the Professional Services Agreement dated August 1, 2006 but were anticipated and required for the permanent clubhouse, the second golf course, the passive park, aerial mapping, site hydrology, technical services, etc. 010 On September 18, 2007, the Agency Board approved PSA Amendment No. 2 in the amount of $27,100 for additional engineering services related to the design of SilverRock Way and the Hotel Drive Street Improvement Plans; the Water Improvement Plans; and the Sewer Improvement Plans. On December 4, 2007, the Agency Board approved PSA Amendment No. 3 in the amount of $53,100 for additional engineering services related to design of the clubhouse site electrical; additional clubhouse site geotechnical investigation; electrical connections for the future golf course; electrical connections for street and trail lighting; and CVWD-required water and sewer plans for future local streets "A" and "B" (adjacent to the northeast corner open space area). PSA Amendment No. 4 is for structural design drawings and supporting calculations for clubhouse site retaining walls. The scope of this work was dependent on the results of the clubhouse site geotechnical investigation performed as part of PSA Amendment No. 3, as well as Agency Board approval of the clubhouse site and landscape plans, which occurred on January 20, 2009. FINDINGS AND ALTERNATIVES: The alternatives available to the Agency Board include: 1. Approve an amendment to the Professional Services Agreement with RBF Consulting to provide additional civil engineering services in an amount not - to -exceed $15,000 and authorize the Executive Director to execute the amendment; or 2. Do not approve an amendment to the Professional Services Agreement with RBF Consulting to provide additional civil engineering services in an amount not -to -exceed $15,000: or 3. Provide staff with alternative direction. submitted, Douglas R.,Kans, Assistant City Manager -Development Services 011 Approved for submission by: Thomas P. Genovese, Executive Director Attachment: 1. RBF Consulting Contract Amendment #4 012 ATTACHMENT 1 `&t1t 4ZPQu:.rw PROFESSIONAL SERVICES AGREEMENT AMENDMENT NO.4 PROJECT: SilverRock Resort, Phase II Civil Engineering Services CONSULTANT: RBF Consulting Pursuant to the terms of the original Contract Agreement, you are hereby directed to make the herein described changes or do the following described work not included in the plans and specifications for this Contract. Unless otherwise stated all work shall conform to the terms, general conditions, and special provisions of the original Contract. DESCRIPTION OF CHANGE Provide additional civil engineering services related to structural engineering design for site retaining walls at the SilverRock Resort Clubhouse. Previous Contract Amount $602,200 Amendment No. 1 $942,950 Amendment No. 2 $27,100 Amendment No. 3 $53,100 Amendment No. 4 $15,000 Revised Contract Total $1,640,350 •raaxx:xrwr�:*r*��«�x*,t«��,t*r**««xxxt��:**xx**�:*tx**��****x,r+x***a*,rx�***«a,rx**ta:xxxx,t++xx��x*�+ Submitted Approved By: Date: We, the undersigned Consultant, havegiven careful consideration to the changeproposed and hereby agree, if this proposal is approved, that we will provide all equipment, furnish all materials, perform all labor, except as may be noted above, and perform all services necessary to complete the above specified work, and hereby accept as full payment the amount shown above. Accepted By: Title: Consultant: Date: PSA96041.do 013 MEMORANDUM To: Debbie Powell, City of La Quinta From: Brad Donais, RBF Consulting Date: 2125/09 Subject: Site Retaining Walls for SilverRock Clubhouse, La Quinta Structural Engineering Design - Scope of Services and Fee JN 20100784.001 As requested, please find the detailed scope of work and fess for the design of site retaining walls for this project. The total fee ($15,000) is itemized for each of the tasks noted below: Description of Project: The reference drawings used for this proposal is a colored exhibit provided by Project Dimensions showing the site plan and various walls. The retaining walls shown in Yellow, indicated as HAS walls are the subject of this proposal. It is understood by that the Landscape Architect (HAS) will provide information related to the wall finishes, handrail types, colors and locations. The proposed design indicates the walls will be constructed of concrete masonry units (CMU) and retain up to 10 ft. of earth with screen walls and fences above. Additionally structural details for concrete stairs on grade, fountain base, event lawn feature, and the small trellis over the entry to cart staging are included. RBF will prepare the structural design drawings and supporting calculations for the proposed retaining walls by performing the following tasks: Task 1. Structural Plans and Details RBF structural engineers will prepare drafted (AutoCad) structural sections and details for the design of the retaining walls, fences and handrails. Elevations related to Top of footing, Top of wall, and finish grades will be provided on the Civil Engineering drawings. The anticipated structural drawings for this project prepared by RBF will include: S-1 General Structural Notes and Typical Structural Details S-2 Wall Sections No. 1 S-3 Wall Sections No 2 and Miscellaneous Details Fee: $ 8,500. Task 2. Structural Calculations RBF structural engineers will prepare calculations for the design of retaining walls based on the recommendations and design parameters in the Project Geotechnical Report (provided by the Client) and the requirements of the 2007 California Building Code. The calculations will be in 8 % x H:\PDATA\20100784VAdmin\contract\AWR Structura REV_022509AM 014 11 format suitable for plan check review by the Building Department. RBF will respond to comments by the plan checker. Fee: $ 4,500. Task 3. Coordination with Design Team RBF will coordinate the structural design with the landscape architect, geotechnical engineer, and RBF project civil engineer regarding the design of the walls. Conference calls and project meeting attendance is included in this task with a budget of 12 hours. Fee: $ 1,500. Task 4. Structural Specifications: It is our understanding that the Architect for the Project will be preparing specifications for the materials used for the retaining walls. RBF will review the sections of the Project Specifications as they relate to the materials and construction of the retaining walls, and provide relined comments to the Architect for editing the specifications. We understand Quantities and Construction Cost Estimates are not required for this project. Specific material requirements will be in the form of notes on the structural drawing (S-1) prepared by RBF. Fee: $ 500. Exclusions: This proposal is limited to the structural engineering design of the project and does not address work related to other engineering disciplines, nor does it address the work that may be required during construction of the project. Work related to the following items are specifically excluded under this scope of work: 1. Electrical, lighting and architectural requirements. 2. Review of submittals by the Contractor during the construction of the work (i.e. concrete mix designs, pole designs, reinforcing steel shop drawings, products, etc.) 3. Site Visits to review work during construction. 4. Cost Estimates and Quantity Calculations Allowance for reproduction should be added as reimbursable costs and is not included in this proposal. H:\PDATA\20100784\Admin\contract\AW R Structura REV_022509.dw n15 ceww 4 lwQumrw COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Acceptance of the PM10 Control and Temporary Parking Lot at SilverRock Resort, Project No. 2008-07 RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: r CONSENT CALENDAR: J STUDY SESSION: PUBLIC HEARING: Accept the PM10 Control and Temporary Parking Lot at SilverRock Resort, Project No. 2008-07 as 100% complete; authorize the City Clerk to file a Notice of Completion with the Office of the County Recorder; and authorize staff to release retention in the amount of $30,531.80 thirty-five (35) days after the Notice of Completion is recorded. FISCAL IMPLICATIONS: The following is a budget summary: Original Contract $305,318.00 Amount paid to date-$274,786.20 Remaining Fiscal Commitment $30,531.80 Retention To Be Billed 35 Days After Recordation-30,531.80 Amount Remaining to Be Billed $0 The Fiscal Year 2008/2009 Operating Budget (Account No. 405-9001-702.32-15) includes $400,000 for the PM10 Maintenance at SilverRock Resort. BACKGROUND AND OVERVIEW: The SilverRock Resort consists of 520 acres. Approximately 290 acres of the property remain undeveloped. From the beginning of construction, PM10 measures have been in place for dust control and Air Quality Management District (AQMD) compliance by the Agency and various contractors working on the project. Since golf course construction was completed in 2005, the Agency has been responsible for overall dust control at SilverRock. On September 6, 2005, City Council approved the SilverRock Resort Soil Stabilization, Project No. 2002-07M to include a combination of vegetative stabilization, water truck service, and chemical stabilization. This option gave the greatest flexibility for future development of SilverRock Resort while providing cost effective dust control to the site. On March 29, 2006, a Notice to Proceed was issued to Precision Landleveling for the planting of vegetative stabilization (barley and Sudan grass). The original contract amount was $185,000. Three Contract Change Order's were approved for additional work including: clearing additional weeds and debris on the property along Jefferson Street (CCO #1), plowing costs and additional Sudan grass seed (CCO #2), and removing the tamarisk trees from around the village lakes and mowing the property along the west side of Jefferson Street (CCO #3). The final revised contract amount with Contract Change Order Nos. 1 through 3 is $225,292. The Agency accepted the completion of Project 202-07M on September 19, 2006. On October 12, 2007, a contract (Project No. 2007-14) was awarded for the vegetative stabilization of approximately 40 acres located at the northwest corner of SilverRock. It was also utilized as a Temporary Parking Lot, as per the June 6, 2007 Amended Use Agreement between Desert Classic Charities, The Bob Hope Chrysler Classic, and the City of La Quinta. The City Council also adopted a Resolution Making Certain Findings Pursuant to Health and Safety Code Section 33445(a) on October 16, 2007. In December 2007, over 130,000 tons of top soil was imported onto the SilverRock property from the Vista Dunes project. The imported material will be needed for the future development of the SilverRock site. The imported soil was stabilized with a six- month chemical stabilization, but the material caused an infestation of tumble weeds. Planting vegetative stabilization provides long term effectiveness and cost savings over chemical stabilization. Additionally, vegetative stabilization helps reduce the infestation of unwanted weeds such as tumble weeds. Even with vegetative stabilization, chemical stabilization will need to continue for the engineered building pads and perimeter slopes. On September 16, 2008, the Agency awarded a contract (Project No. 2008-07) to Natures Image for the PM10 Control and Temporary Parking Lot at SilverRock Resort. The project provided the vegetative stabilization of approximately 163 acres and the removal of tumbleweeds throughout the property at SilverRock. The 40 acres of property located on the Northeast corner was utilized as a Temporary Parking Lot, as per the June 6, 2007 Amended Use Agreement between Desert Classic Charities, The Bob Hope Chrysler Classic, and the City of La Quinta. The City Council also adopted a Resolution Making Certain Findings Pursuant to Health and Safety Code Section 33445(a) on September 16, 2008. The Project was completed on March 10, 2009. �. 017 FINDINGS AND ALTERNATIVES: The alternatives available to the Agency include: 1. Accept the PM10 Control and Temporary Parking Lot at SilverRock Resort, Project No. 2008-07 as 100% complete; authorize the City Clerk to file a Notice of Completion with the Office of the County Recorder; and authorize staff to release retention in the amount of $30,531 .80 thirty-five (35) days after the Notice of Completion is recorded; or 2. Do not accept the PM10 Control and Temporary Parking Lot at SilverRock Resort, Project No. 2008-07 as 100% complete; do not authorize the City Clerk to file a Notice of Completion with the Office of the County Recorder; and do not authorize staff to release retention in the amount of $30,531.80 thirty-five (35) days after the Notice of Completion is recorded; or 3. Provide staff with alternative direction. Respectfully submitted, r:-: - 4& Edie Hylton Community Services Director Approved for submission by: Thomas P. Genovese, Executive Director � aj 171 COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Consideration of Alternatives for the SilverRock Resort Undeveloped Property RECOMMENDATION: As deemed appropriate by the Agency. FISCAL IMPLICATIONS: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Current management and maintenance for the undeveloped SilverRock property is funded through the Redevelopment Agency (Account No. 401-9001-702.32-15). $400,000 is budgeted in this account for Fiscal Year 2008/2009. BACKGROUND AND OVERVIEW: SilverRock Resort consists of 520 acres. Approximately 290 acres of the property remain undeveloped and under the Agency's ownership. From the beginning of construction, PM-10 measures have been in place for dust control and Air Quality Management District (AQMD) compliance by the Agency and various contractors working on the project. The Agency is responsible for the overall dust control on the portions of SilverRock under its ownership. In 2005, staff worked closely with AQMD to determine the best options to stabilize the undeveloped property. The options included water truck service, chemical stabilization, vegetative stabilization (at AQMD's suggestion), and contracting the property for agricultural use. Staff contacted local sod producers about the potential use of the undeveloped property at SilverRock. These sod producers declined the offer due to the inability to provide a long-term contract because of the pending development of the second golf course and hotels. On September 6, 2005, the Agency approved the SilverRock Resort Soil Stabilization, Project No. 2002-07M to include a combination of vegetative stabilization, water truck service, and chemical stabilization. This option gave the greatest flexibility for future development of SilverRock while providing cost effective dust control to the site. Planting vegetation for stabilization of the property provides long-term effectiveness 019 and is a "Green" alternative to chemical stabilization. Even with vegetative stabilization, chemical stabilization is still necessary for certain areas such as the engineered building pads and perimeter slopes. Bids were received for the vegetative stabilization and the Agency awarded a contract to Precision Landleveling. A combination of Barley and Sudan grass was planted throughout the property. The final contract amount was $225,292. In December 2007, over 130,000 tons of top soil was imported onto the SilverRock property from the Vista Dunes project. The imported material was free and will be needed for the future development of the SilverRock site. The imported soil was stabilized with a six-month chemical stabilization, but the material caused an infestation of tumbleweeds. Per the Agency's request, staff is researching options for long-term PM-10 control at SilverRock. Continual water truck service is required by AQMD. For Fiscal Year 2009/2010, 60 acres of development pads and perimeter slopes need to be chemically stabilized, 70 acres located on the southeast section of the property need to be stabilized chemically or with vegetation, and the 40 acre temporary parking lot needs to be available for the Bob Hope Chrysler Classic in January 2010. Options to the Agency for the undeveloped property at SilverRock include: Option 1. Chemically stabilize 60 acres with two six-month applications Plant Barley or Sudan grass on 70 acres Replant (Rye Grass) 40 acres of temporary parking lot with temporary irrigation Water truck service The annual cost for Option 1 = Option 2. Chemically stabilize 60 acres with two six-month applications Chemically stabilize 70 acres with two six-month applications Replant (Rye Grass) 40 acres of temporary parking lot with temporary irrigation Water truck service The annual cost for Option 2 = $42,000 $56,000 $80,000 $76,800 $254,800 $42,000 $49,000 $80,000 $76,000 $247,000 020 Option 3. Chemically stabilize 60 acres with two six-month applications $42,000 Plant Barley or Sudan grass on 70 acres $56,000 Plant Bermuda grass on 40 acres of temporary parking lot (one time cost) $87,000 Install permanent irrigation system on 40 acres of temporary parking lot (one time cost) $225,000 Maintain the temporary parking lot annually (permanent irrigation, labor, water, electricity, winter over -seeding, and three fertilizer applications) $52,000 Water truck service $76,000 The Fiscal Year 2009/2010 cost for Option 3 = $538,000 The annual cost for Option 3 after Fiscal Year 2009/2010 = $226,000 Option 4. Chemically stabilize 60 acres with two six-month applications $42,000 Chemically stabilize 70 acres with two six-month applications $49,000 Plant Bermuda grass on 40 acres of temporary parking lot (one time cost) $87,000 Install permanent irrigation system on 40 acres of temporary parking lot (one time cost) $225,000 Maintain the temporary parking lot annually (permanent irrigation, labor, water, electricity, winter over -seeding, and three fertilizer applications) $52,000 Water truck service $76,000 The Fiscal Year 2009/2010 cost for Option 4 = $531,000 The annual cost for Option 4 after Fiscal Year 2009/2010 = $219,000 Option 5. Replant (Rye Grass) 40 acres of temporary parking lot with temporary Irrigation $80,000 Contract farming of undeveloped property (AQMD Exempt); Irrigation coverage provided over entire undeveloped property; and Sudan grass grown year-round on the areas not being farmed. $195,000 The annual cost for Option 5 = $275,000 021 Option 6. Plant Bermuda grass on 40 acres of temporary parking lot (one time cost) $87,000 Install permanent irrigation system on 40 acres of temporary parking lot (one time cost) $225,000 Contract farming of undeveloped property (AQMD Exempt); Irrigation coverage provided over entire undeveloped property; and Sudan grass grown year-round on the areas not being farmed. $195,000 Maintain the temporary parking lot annually (permanent irrigation, labor, water, electricity, winter over -seeding, and three fertilizer applications) $52,000 The Fiscal Year 2009/2010 cost for Option 6 = $559,000 The annual cost for Option 6 after Fiscal Year 2009/2010 = $247,000 FINDINGS AND ALTERNATIVES: The alternatives available to the Agency include: 1. Approve one of the 6 options provided by staff; or 2. Do not approve one of the 6 options provided by staff; or 3. Provide staff with an alternative direction. Respectfully submitted, Edie Hylton Community Services Director Approved for submission by: Thomas P. Genovese, Executive Director 022 T4tr4rwQ" COUNCIL/RDA MEETING DATE: March 17, 2009 ITEM TITLE: Consideration of a Letter in Opposition of SB 93 Relating to the Use of Redevelopment Funds on Public Facilities RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Authorize Chairman Kirk to submit a letter in opposition to SB 93 relating to the use of redevelopment funds on public facilities. FISCAL IMPLICATIONS: If SB 93 were to pass, it would have a significant fiscal impact on the City and the Redevelopment Agency. It would create certain limitations on the future use of redevelopment funds for public facilities. BACKGROUND AND OVERVIEW: Currently, the Community Redevelopment Law allows a redevelopment agency to pay for the land and the cost of the installation and construction of any building, facility, structure, or other improvement that is publicly owned, either within or outside of the project area, if the Agency first makes specified findings under Health and Safety Code Section 33445. The determinations by the Agency and the City Council are deemed to be final and conclusive. That is, they cannot be challenged. This bill would require a redevelopment agency to make specified findings relating to blight, based on substantial evidence in the record, before the Agency could expend redevelopment funding on the land or public improvements. Among other findings, the Agency and the City Council would have to find: (1) Significant blight remains within the project area. 023 (2) The blight cannot be eliminated without the acquisition of the land or the installation and construction of the building, facility, structure, or other improvement that is publicly owned. Senator Christine Kehoe authored SB 93. It is being proposed in response to a specific situation in San Diego, but would have a significant impact on the activities of the La Quinta Redevelopment Agency. SB 93 arises out of a dispute in San Diego where tax increment will be shifted from a project area to build a parking structure and improvements associated with a light rail line more than 10 miles from the project area. However, as currently drafted, SB 93 would impose new, expensive, and time-consuming mandates on all redevelopment project areas for spending on public facilities inside as well as outside of project areas. The California Redevelopment Association ("CRA") urges its members to oppose SB 93 as it is currently drafted. The bill was recently approved by the Senate Local Government Committee, 5-0, without the amendments CRA had recommended that would address only the situation Senator Kehoe has cited as the reason for introducing her bill. The bill is expected to be passed by the Senate shortly, possibly by the time of the Agency Board meeting. Staff will provide an update at the meeting regarding whether the Senate has acted on the bill. A draft of a proposed opposition letter is Attachment 1. The current version of the bill is Attachment 2. FINDINGS AND ALTERNATIVES: The alternatives available to the Agency Board include: 1. Authorize Chairman Kirk to Submit a letter in opposition to SB 93 relating to the use of redevelopment funds on public facilities; or 2. Do not authorize Chairman Kirk to Submit a letter in opposition to SB 93 relating to the use of redevelopment funds on public facilities; or 3. Provide staff with alternative direction. 024 Respectfully submitted, t e� - Douglas R. vans Assistant City Manager — Development Services Approved for submission by: Thomas P. Genovese, Executive Director Attachments: 1. Proposed letter in opposition to SB 93 2. Senate Bill No. 93 025 March 17, 2009 Senator Christine Kehoe State Capitol, Room 4038 Sacramento, CA 95814 RE: SB 93 (Kehoe) Redevelopment: Payment for Land or Buildings Notice of OPPOSITION Dear Senator Kehoe The La Quinta Redevelopment Agency is strongly opposed to SB 93. This bill mandates agencies to constantly remake findings of blight in project areas in order to spend money on a public facility. They will also have to certify that the specific public facility will remove blight. Often, a public facility is simply one component of an overall program designed to eliminate blight. To require new blight surveys and studies would be time-consuming and very expensive. Such studies commonly cost tens or hundreds of thousands of dollars. In addition, SB 93 would allow blight findings to be subject to litigation, which would subject projects to potentially expensive delays and legal fights. In Riverside County, our courts are already overburdened with criminal cases; civil cases often cannot get to trial for five years. This could severely impact an agency's ability to provide for public facilities at a time when other sources of municipal revenue are vanishing. As drafted, SB 93 would impact the City of La Quinta and the La Quinta Redevelopment Agency negatively; it will greatly impede the Agency's ability to fund vital community and economic development projects. For the past twenty years, the La Quinta Redevelopment Agency has funded projects which have allowed the City to eliminate blight, enhance the local economy, and create jobs. These projects include: flood control improvements within a blighted neighborhood; infrastructure projects which have facilitated revenue -generating development; a community museum with educational facilities; library; handicap access ramps throughout the City; and other vital projects. Additionally, SB 93 comes at a time when the state and the nation are getting hit hard economically and fiscally as demonstrated by local governments experiencing severe budgetary concerns. SB 93 will severely hinder future redevelopment projects, and would have an adverse effect on the local economy. For these reasons, the La Quinta Redevelopment Agency and City of La Quinta are opposed to SB 93. Should you have any questions, please do not hesitate to contact me at 760-777-7030. Sincerely, Tom Kirk, Chairman On Behalf of the La Quinta Redevelopment Agency Board 026 ATTACHMENT 2 SENATE BILL No. 93 Introduced by Senator Kehoe January 22, 2009 An act to amend Section 33445 of the Health and Safety Code, relating to redevelopment. LEGISLATIVE COUNSEL'S DIGEST SB 93, as introduced, Kehoe. Redevelopment: payment for land or buildings. The Community Redevelopment Law requires a redevelopment agency to make specified findings if the agency pays all or a part of the value of the land for and the cost of the installation and construction of any building, facility, structure, or other improvement that is publicly owned either within or without the project area. These determinations by the agency and the local legislative body are final and conclusive. An agency is authorized to enter into a contract with the community or other public corporation when the value of the land or the cost of the installation and construction of the building, facility, structure, or other improvement, or both, has been, or will be, paid or provided for initially by the community or other public corporation, and the agency agrees to reimburse, the community or other public corporation. An agency may contract with the community when the land has been or will be acquired by, or the cost of the installation and construction of the building, facility, structure, or other improvement has been paid by, a parking authority, joint powers entity, or other public corporation to provide a building, facility, structure, or other improvement that has been or will be leased to the community. This bill would require a redevelopment agency to make specified findings, based on substantial evidence in the record, if the agency pays all or a part of the value of the land for and the cost of the installation 99 027 SB 93 — Z — and construction of any building, facility, structure, or other improvement that is publicly owned either within or without the project area. These findings would not be final and conclusive. An agency would no longer be authorized to enter into a contract with a public corporation other than the community for the value of the land or the cost of the installation and construction of the building, facility, structure, or other improvement, or both. The bill would provide that an agency may contract with the community prior to January 1, 2009, when the land has been or will be acquired by, or the cost of the installation and construction of the building, facility, structure, or other improvement has been paid by, a parking authority, joint powers entity, or other public corporation to provide a building, facility, structure, or other improvement that has been or will be leased to the community. Vote: majority. Appropriation: no. Fiscal committee: no. State -mandated local program: no. 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 The people of the State of California do enact as follows: SECTION 1. Section 33445 of the Health and Safety Code is amended to read: 33445. (a) Notwithstanding Section 33440, an agency may, with the consent of the legislative body, pay all or a part of the value of the land for and the cost of the installation and construction of any building, facility, structure, or other improvement that is publicly owned either within or without the project area, if the legislative body -determines finds, based on substantial evidence in the record, all of the following: the improvement is within another projelt area, or in the eas owned that the improvement is of bettefit to an adjtteetit projeet area ofthe aganer. (1) Significant blight remains within the project area. (2) The blight cannot be eliminated without the acquisition of the land or the installation and construction ofthe building, facility, structure, or other improvement that is publicly owned. f2� 99 —3— SB 93 2 3 4 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 (3) That no other reasonable means of financing the buildings, facilities, structures, or other improvements, are available to the community, including, but not limited to, general obligation bonds, revenue bonds, special assessment bonds, and bonds issued pursuant to the Mello -Roos Community Facilities Act of 1982 (Chapter 2.5 (commencing with Section 53311) of Part I of Division 2 of Title 5 of the Government Code). (4 That the payment of funds for the acquisition of land or the cost of buildings, facilities, structures, or other improvements -Will assist in the elimittation of one or tnere b b persons an that are publicly owned is consistent with the implementation plan adopted pursuant to Section 33490. (b) The , acquisition of-prepertp land and the installation or construction of each building facility, structure, or improvement that is publicly owned shall be provided for in the redevelopment plan.-:4-redevelopment age y (c) An agency shall not pay for the normal maintenance or operations of buildings, facilities, structures, or other improvements that are publicly owned. Normal maintenance or operations do not include the construction, expansion, addition to, or reconstruction of, buildings, facilities, structures, or other improvements that are publicly owned otherwise undertaken pursuant to this section. (d (1) When the value of the land or the cost of the installation and construction of the building, facility, structure, or other improvement, or both, has been, or will be, paid or provided for initially by the community the agency may enter into a contract with the community-or-o4te - ublie to reimburse the community -or for all or part of the value of the land or all or part of the cost of the building, facility, structure, or other improvement, or both, by periodic payments over a period of years. 99 029 SB 93 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —4— (2) The obligation of the agency under the contract shall constitute an indebtedness of the agency for the purpose of carrying out the redevelopment project for the project area, which and the indebtedness may be made payable out of taxes levied in the project area and allocated to the agency under subdivision (b) of Section 33670 or out of any other available funds. (e) In Prior to January 1, 2009, in a case where the land has been or will be acquired by, or the cost of the installation and construction of the building, facility, structure, or other improvement has been paid by, a parking authority, joint powers entity, or other public corporation to provide a building, facility, structure, or other improvement that has been or will be leased to the community, the contract may be made with, and the reimbursement may be made payable to, the community. (f) With respect to the financing, acquisition, or construction of a transportation, collection, and distribution system and related peripheral parking facilities, in a county with a population of 4,000,000 persons or more, the agency shall, in order to exercise the powers granted by this section, enter into an agreement with the rapid transit district that includes the county, or a portion thereof, in which agreement the rapid transit district shall be given all of the following responsibilities: (1) To participate with the other parties to the agreement to design, determine the location and extent of the necessary rights -of -way for, and construct, the transportation, collection, and distribution systems and related peripheral parking structures and facilities. (2) To operate and maintain the transportation, collection, and distribution systems and related peripheral parking structures and facilities in accordance with the rapid transit district's outstanding agreements and the agreement required by this paragraph. (g) (1) Notwithstanding any other authority granted in this section, an agency shall not pay for, either directly or indirectly, with tax increment funds the construction, including land acquisition, related site clearance, and design costs, or rehabilitation of a building that is, or that will be used as, a city hall or county administration building. (2) This subdivision shall not preclude an agency from making payments to construct, rehabilitate, or replace a city hall if an agency does any of the following: 99 030 S- SB93 I (A) Allocates tax increment funds for this purpose during the 2 1988-89 fiscal year and each fiscal year thereafter in order to 3 comply with federal and state seismic safety and accessibility 4 standards. 5 (B) Uses tax increment funds for the purpose of rehabilitating 6 or replacing a city hall that was seriously damaged during an 7 earthquake that was declared by the President of the United States 8 to be a natural disaster. 9 (C) Uses the proceeds of bonds, notes, certificates of 10 participation, or other indebtedness that was issued prior to January 11 1, 1994, for the purpose of constructing or rehabilitating a city 12 hall, as evidenced by documents approved at the time of the 13 issuance of the indebtedness. 0 99 C31