2009 12 01 CC MinutesLA QUINTA CITY COUNCIL
MINUTES
DECEMBER 1, 2009
-- - ~City~ Clerk Montecino announced that tfie regular meeting of the La Quinta City
Council would not be called to order until the hour of 4:00 p.m. due to lack of
quorum.
Mayor Adolph called the meeting to order at 4:00 p.m. and led the audience in the
Pledge of Allegiance.
PRESENT: Council Members Evans, Franklin, Henderson, Sniff, Mayor Adolph
ABSENT: None
PUBLIC COMMENT
Karen Lundie, 53-485 Avenida Juarez, thanked Council Members Henderson and
Sniff for considering a discussion of the noise ordinance at a future meeting;
presented a videotape as evidence of noise nuisance from a neighbor; stated the
requirement of completing abarking-dog petition is not included in the Municipal
Code; and requested staff enforce the Municipal Code regarding noise nuisances
for dog barking.
CLOSED SESSION -None
CONFIRMATION OF AGENDA -Confirmed
Mayor Adolph requested Consent Item No. 5 be pulled for separate discussion.
ANNOUNCEMENTS -None
PRESENTATIONS -None
WRITTEN COMMUNICATIONS -None
APPROVAL OF MINUTES
MOTION - It was moved by Council Members Sniff/Franklin to approve the City
Council Minutes of November 17, 2009, as submitted. Motion carried
unanimously.
City Council Minutes 2 December 1, 2009
CONSENT CALENDAR
1. APPROVAL OF DEMAND REGISTER DATED DECEMBER 1, 2009.
2. DENIAL OF CLAIMS FOR DAMAGES FILED BY NAFIZA SALLOUM -DATES
OF LOSS: AUGUST 24 AND OCTOBER 19, 2009.
3. APPROVAL OF SECOND READING AND ADOPTION OF ORDINANCE NO.
474, ADDING CHAPTER 12.69 TO TITLE 12 OF THE LA QUINTA
MUNICIPAL CODE, PERTAINING TO REGULATIONS FOR GOLF CARTS ON
CERTAIN CITY STREETS.
4. APPROVAL OF SECOND READING AND ADOPTION OF ORDINANCE NO.
475, AMENDING CHAPTER 2.60, SECTION 2.60.20, RELATING TO THE
CITY OF LA QUINTA CONFLICT OF INTEREST CODE.
5. ADOPTION OF A RESOLUTION TO EXTEND THE TIME FOR COMPLETION
OF THE OFFSITE AND ONSITE IMPROVEMENTS FOR TRACT MAP 29436,
HIDDEN CANYON, TRANS WEST HOUSING, INC. (See separate action
below.)
6. APPROVAL OF CONTRACT CHANGE ORDER NO. 4 FOR HIGHWAY 111
PHASE III STREET IMPROVEMENTS (POINT HAPPY WAY TO WEST CITY
LIMITS), PROJECT NO. 2006-04.
MOTION - It was moved by Council Members Sniff/Evans to approve the
Consent Calendar as recommended and amended with the exception of Item
No. 5. Motion carried unanimously.
Item No. 5:
Reg Santano, 77878 Little Eagle Court, addressed the request for a time
extension and requested this matter be placed on the agenda in January
2010 to review a time schedule for the improvements.
Council Member Henderson .suggested this item be brought back for
discussion at the first meeting in February 2010.
Mayor Adolph stated when the last extension was approved; he commented
that the developer needed to complete the improvements or the City would
go after the bond; and asked if Trans West Housing would be able to
complete the improvements within the proposed timeframe.
City Council Minutes 3 December 1, 2009
Marti Butler, representing Trans West Housing Inc., explained the extension
is to accommodate the City's request for construction to be postponed until
after the Bob Hope Classic event and not due to the lack of funding.
In response to Council Member Henderson, City Manager Genovese
confirmed the matter can be continued to the first meeting in February 2010,
if it is the City Council's desire to do so.
City Attorney Jenson stated a continuance without changing the deadline
will leave the subdivision improvement agreement in default; and suggested
approving a time extension on the condition that the developer provide a
status report at the February City Council meeting.
Mayor Adolph conveyed a desire to give the developer time to complete the
improvements after the Bob Hope Classic.
Council Member Evans spoke in support approving the time extension to a
timeframe between March and November 2010.
Council Member Sniff suggested atwo-week continuance to enable staff to
define the timeframe.
Public Works Director Jonasson suggested extending the time for completion
to the first meeting in March 2010 and the improvements may be able to be
approved for acceptance at that time; and stated the developer should be
able to complete the improvements by that date if they begin work right
after the Bob Hope Classic event.
RESOLUTION NO. 2009-100
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA,
CALIFORNIA, GRANTING AN EXTENSION OF TIME FOR THE COMPLETION
OF THE OFFSITE AND ONSITE IMPROVEMENTS AS SPECIFIED IN THE
APPROVED SUBDIVISION IMPROVEMENT AGREEMENT TO MARCH 2,
2010, FOR TRACT MAP 29436, HIDDEN CANYON.
It was moved by Council Members Sniff/Henderson to adopt Resolution No.
2009-100 as amended. Motion carried unanimously.
City Council Minutes 4 December 1, 2009
BUSINESS SESSION
1. CONSIDERATION OF A FINANCE AGREEMENT BETWEEN THE CITY OF
LA QUINTA AND THE LA QUINTA REDEVELOPMENT AGENCY RELATING
TO THE SUPPLEMENTAL EDUCATIONAL REVENUE AUGMENTATION FUND
(SERAF) PAYMENT MANDATED PURSUANT TO STATE OF CALIFORNIA
ASSEMBLY BILL 26 AND AN APPROPRIATION OF FUNDS.
Finance Director Falconer presented the staff report.
In response to Council Member Franklin, Finance Director Falconer explained
the proposal is to make the payment from Redevelopment Project Area No. 1
Debt Service Fund to the Capital Projects Fund; if the 510 million had been
transferred, the City would have funded all capital projects at approximately
S46 million with approximately 54 million left over; confirmed the transfer
has not been made to the Capital Projects No. 1 Fund, and further explained
the Capital Projects Project Area No. 1 Fund balance will be a negative 52
million without the transfer. He further explained the infrastructure project
at SilverRock Resort is budgeted at approximately 525 million and taking the
53.5 million reduces it, and based on the current bidding environment, it
would generate some savings. Council Member Franklin inquired about the
debt service fund balance. Finance Director Falconer stated the fund balance
will be 53.1 million with the transfer and approximately 513 million without
the transfer.
Council Member Sniff commented on the Redevelopment Agency becoming
a cash cow to the State, and asked when the agreement was made and how
it was initiated. City Attorney Jenson explained there is no agreement; it
was implemented by legislation approved in July 2009; and explained a
lawsuit has been filed by the California Redevelopment Agency (CRA) and a
ruling will be made by the State Court.
Council Member Henderson stated the League of California Cities has the
title prepared for an initiative to prohibit the State from taking General Fund,
Redevelopment Agency, or transportation funds.
Mayor Adolph asked if the funds will be refunded if the court rules against
the State and prohibits them from enacting the payment after May 10,
2010. City Attorney Jenson stated she anticipates the CRA will do
everything in their power to get the funds returned.
In response to Council Member Sniff, City. Attorney Jenson stated the
amount is based on a formula in the legislation wherein 51.7 billion was
divided into two equal amounts; for the first of the two amounts the State
City Council Minutes 5 December 1, 2009
assessed all agencies based on their net tax increment, and the second of
the two amounts was based on the total tax increment received by each
agency; and stated the County Auditor reported to the State Director of
Finance who then issued the charts anti edicts based on the two
components used in the formula.
In response to Mayor Adolph, Finance Director Falconer stated the County
Redevelopment Agency was hit with the highest amount in Riverside
County, followed by the City of Palm Desert and then by the City of
La Quinta.
Council Member Sniff asked where this right exists in the State Constitution
and if this matter is currently in the courts. City Attorney Jenson stated the
payment is enacted by statute from the legit>lation and not from the State
Constitution. Council Member Henderson explained a lawsuit has been filed
by the CRA with the League of California Cities trying to manage an initiative
for the November 201 1 ballot.
In response to Council Member Sniff, Finance Director Falconer referred to
the last page of the staff report for an explanation if the City does not
participate in the mandated payment; stated from a budget standpoint, the
reimbursements from the Redevelopment Agency to the General Fund would
be reduced by 25%, which would be an approximate 5350,000 shortfall to
the General Fund.
Council Member Sniff stated the lawsuit filed by the CRA seems to be our
only recourse. Council Member Henderson explained polls conducted by the
League of California Cities have indicated public support for the proposed
initiative, but much campaigning will be needed to explain it in detail to the
voters.
In response to Mayor Adolph, Finance; Director Falconer stated
Redevelopment Agency funds committed to the SilverRock Project could be
uncommitted and used for this payment; explained the loan is between the
Redevelopment Agency and the City and is a long-term note with an interest
rate of 7%; stated the purpose of the loan is to pay the supplemental ERAF
payment obligation; and staff is confident that the strength of the
Redevelopment Agency, especially Project Area No. 1, will be able to repay
the loan. He explained the total General Fund fund balance is approximately
S93 million of which approximately S42 million is more or less liquid in three
reserve accounts -Emergency Reserves, Cash Flow Reserves, and Other
Operation Reserves; and stated the Other Operation Reserves balance is
approximately S18 million from which the S10 million appropriation would be
taken from.
City Council Minutes 6 December 1, 2009
Council Member Franklin requested clarification on the fund balance for
Redevelopment Agency funds and asked if committed funds must remain
committed to the project. Finance Director Falconer explained the amount of
committed funds in Project Area No. 1 is approximately 546 million; and
stated funds for any capital improvement projects that have not been
contracted can be used at the Agency's discretion for other projects or may
be uncommitted.
Council Member Franklin asked if the same applied to the debt service
account. Finance Director Falconer explained the debt service account is
different because of the pass-through agreement payments; and the Agency
has little flexibility with that account.
Council Member Franklin asked how the City will justify the loan from the
general account. Finance Director Falconer explained the Redevelopment
Agency has already committed the funds by past actions, and the State
cannot tell the Agency how to provide the funds. City Attorney Jenson
stated there is a limitation from the State for restricting the use of housing
funds. Council Member Franklin stated as long as the funds are committed
we are okay. City Attorney Jenson explained it is a matter of discretion of
the Agency Board.
Finarice Director Falconer explained that when the Capital Improvement
Program (CIP) is adopted each year, the funds are carried over at the end of
the fiscal year if the project is not completed; and stated staff can make
adjustments if the Agency wants to increase or decrease funds for a project.
Council Member Sniff noted the City makes the payment regardless of which
account it comes from; and asked if the 510 million transfer would in any
way affect the function of the Redevelopment Agency or the City. Finance
Director Falconer confirmed it will impact both agencies; and stated staff
would prefer not having to advance 510 million from the General Fund to the
Redevelopment Agency but we are required to make the payment. Council
Member Sniff commented on the possibility of this happening again before
legislation is voted on by the public. Council Member Henderson noted next
year's State budget is already 525 billion over budget and confirmed that the
State could come back again in next year's budget and ask for additional
funding from the Redevelopment Agency.
City Council Minutes 7 December 1, 2009
MOTION - It was moved by Council Members Henderson/Franklin to approve
a Finance Agreement between the City of La Quinta and the La Quinta
Redevelopment Agency relating to the Supplemental Educational Revenue
Augmentation Fund (SERAF) payment mandated pursuant to State of
California Assembly Bill 26 of S10 million and an appropriation of
523,560,481 to make the payment. Motion carried unanimously.
STUDY SESSION -None
REPORTS AND INFORMATIONAL ITEMS
Palm Springs Desert Resort Communities & Visitors Authority -Council Member
Evans reported the Authority has split the JPA and the HBIC; the HBIC is working
on bylaws and each agency will be represented by a Chair anal Vice Chair.
CVAG Homelessness Committee -Council Member Franklin reported the ribbon
cutting for the Roy Wilson Desert Resource Center will be held December 16, 2009
at 1 :00 p.m. and an open house will be held sometirne in February or March 2010;
a contract with Jewish Family Services has been finalized for administrative
services; Riverside County came up with another 5750,000 to fund operating
costs; the Desert Resource Center has signed a lease agreement with the County
Community Health Agency for a public health nurse for aone-year total budget of
5175,000, with 5134,000 for the salary and benefits; and stated the Committee
discussed looking for other options. She further reported Columbia University took
on the project of reviewing operating costs and funding options for the Desert
Resource Center.
Human Community Resources Committee -Council Member Franklin reported the
Committee is promoting the upcoming Census.
IID Energy Consumers' Advisory Committee -Council Member Franklin reported
the Imperial Irrigation District (IID) Board held a special meeting November 30,
2009 to discuss layoffs; and 39 currently filled positions and 16 vacant positions
for a total of 55 positions were eliminated. She stated the Committee discussed a
proposed memorandum of understanding with SCAFA regarding a lease agreement
for property owned by IID and the Los Angeles Department of Water and Power for
geothermal resource drilling; and stated the Committee voted almost unanimously
not to recommend the budget as presented because of receiving information
piecemeal; and expressed the Committee's discontent on the lack of information
exchange. She asked staff if there is a rebate option from IID for installing solar
power at the new fire station. Building & Safety Director Hartung stated staff will
apply for the rebate but no funds are available from this fiscal year.
City Council Minutes 8 December 1 , 2009
All other reports were noted and filed.
DEPARTMENT REPORTS -None
MAYOR AND COUNCIL MEMBERS' ITEMS
Council Member Evans requested a study session be scheduled to discuss the sign
ordinance and recent amendments made to the Municipal Code regarding signs.
City Attorney Jenson asked if the focus would be changes made regarding signs in
medians or a bigger picture. Council Member Sniff stated the discussion should
address all signs, including political signs.
Mayor Adolph thanked the City Manager for processing the donations to Martha's
Village & Kitchen and the Coachella Valley Rescue Mission. Council Member
Franklin commented on the possibility of making another donation at Christmas.
Mayor Adolph suggested addressing that at the December 15 meeting.
Mayor Adolph commented on the Christmas tree lighting ceremony at the
La Quinta Resort being well attended but the parking accommodations being
inadequate.
Council Member Sniff suggested a review of Senate Bill 375, proposed legislation
regarding global warming, and a cap in trade to discuss the ramifications to the
City on a routine basis. Council Member Henderson announced Coachella Valley
Association of Governments (CVAG) is providing a workshop December 10 on
Senate Bill 375 and asked if this matter has been discussed with the general public
at any of the meetings for the recycling programs. Assistant City Manager-
Management Services Plumlee stated CVAG has addressed Senate Bill 375, green
house gas emissions, and a baseline study on the agendas; and there are numerous
opportunities for training. In response to Council Member Sniff, Assistant City
Manager-Management Services Plumlee stated CVAG has presented some material
on the cap in trade legislation.
City Manager Genovese stated staff can report back to the City Council following
the workshop given by CVAG.
Council recessed to the Redevelopment Agency meeting.
Council reconvened and recessed to and until 7:00 P.M.
City Council Minutes 9 December 1, 2009
7'00 P_M_
PUBLIC COMMENT -None
PRESENTATIONS -None
PUBLIC HEARINGS
1. PUBLIC HEARING TO CONSIDER ADOPTION OF A RESOLUTION
ESTABLISHING A GOLF CART PERMIT FEE FOR THE GOLF CART PLAN.
Assistant City Manager-Development Services Evans presented the staff
report.
Council Member Sniff asked if applicants would need to make an
appointment to obtain a permit. Assistant City Manager-Development
Services Evans explained the inspection process will be conducted by
appointment at the owner's residence.
Mayor Adolph asked if an information sheet will be provided for those
interested in obtaining a permit. Assistant City Manager-Development
Services Evans stated staff has prepared a facts sheet for the public and for
owners to have as a reference in their golf cart.
Council Member Sniff asked if staff is going to take a photo of the vehicle
upon issuance of a permit. Assistant City Manager-Development Services
Evans stated staff has not discussed taking photos but it might be a good
idea to verify if any modifications are made that would make it invalid.
Council Member Henderson suggested photos be taken to deter the transfer
of permit stickers.
In response to Mayor Adolph, Assistant City Manager-Development Services
Evans stated applicants will be issued a numbered sticker for their golf cart.
The Mayor declared the PUBLIC HEARING OPEN at 7:05 p.m. There being no
requests to speak, the Mayor declared the PUBLIC HEARING CLOSED at
7:05 p.m.
City Council Minutes 10 December 1, 2009
RESOLUTION NO. 2009-101
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA,
CALIFORNIA, ESTABLISHING A GOLF CART PERMIT FEE.
It was moved by Council Members Sniff/Evans to adopt Resolution No.
2009-101 as submitted. Motion carried unanimously.
ADJOURNMENT
There being no further business, it was moved by Council Members Franklin/Evans
to adjourn. Motion carried unanimously.
submitted,
VERONICA J. N1fbTVTECINO, City Clerk
City of La Quinta, California